What SC law requires, what it covers, and why minimum limits may not be enough

 

If you drive in South Carolina, you're required by law to carry liability car insurance. It's the foundation of any auto policy — and it's also the coverage most drivers understand least. They know they have it because it's required, but they don't know what it actually does until they need it.

Here's a plain-English breakdown of what liability car insurance covers in South Carolina, what the state minimums are, why those minimums often aren't enough, and what you should actually carry.

 

What Liability Car Insurance Covers

Liability insurance covers damage and injuries you cause to other people in an accident where you are at fault. It does not cover your own vehicle or your own injuries — that's what collision and comprehensive coverage (and your own health insurance) are for.

There are two components to liability coverage:

Bodily Injury Liability (BI): Pays for medical expenses, lost wages, and pain and suffering for other people injured in an accident you cause. This includes other drivers, passengers in other vehicles, pedestrians, and cyclists.

Property Damage Liability (PD): Pays to repair or replace other people's property you damage in an accident — most commonly their vehicle, but also fences, mailboxes, storefronts, or any other property.

Liability insurance does not pay for your own medical bills, your own car repairs, or your own lost wages. If you want coverage for yourself and your vehicle, you need additional coverages beyond liability.

 

Liability insurance protects other people from you — not you from accidents. It's required by law because it ensures you can pay for damage you cause.

 

South Carolina's Minimum Liability Requirements

South Carolina law requires all drivers to carry at least the following liability limits:

Coverage Type	SC Minimum Limit	What It Means
Bodily Injury (per person)	$25,000	Max paid per injured person
Bodily Injury (per accident)	$50,000	Max paid for all injuries in one accident
Property Damage (per accident)	$25,000	Max paid for all property damage

 

These are often referred to as 25/50/25 limits — the shorthand notation you'll see on your policy declarations page.

 

Why the SC Minimums Often Aren't Enough

$25,000 per person and $50,000 per accident sounds like real money — until you consider what medical care actually costs today. A single emergency room visit after a serious accident can run $20,000–$40,000. An overnight hospital stay, surgery, or trauma care can easily exceed $100,000. If you cause an accident that injures multiple people, your $50,000 limit can disappear fast.

Here's the real risk: if the damage or injuries you cause exceed your liability limits, the other party can sue you personally for the remainder. That means your savings, your home equity, and your future wages are all potentially at risk. Minimum liability coverage protects other drivers up to your limit — but it doesn't protect you from a lawsuit.

 

The SC minimum of $25,000 per person may not cover a single emergency room visit after a serious accident. Most independent agents recommend carrying at least $100,000/$300,000.

 

What Limits Should You Actually Carry?

Most insurance professionals — including us — recommend carrying at least 100/300/100 for liability coverage as a baseline:

$100,000 per person / $300,000 per accident bodily injury — significantly more realistic for a multi-person accident with serious injuries.

$100,000 property damage — covers damage to newer vehicles, which now commonly cost $40,000–$70,000 to replace.

For drivers with significant assets — home equity, savings, investments — we often recommend even higher limits or an umbrella policy that adds a layer of $1 million or more on top of your auto and home liability. The cost difference between minimum coverage and substantially higher limits is often surprisingly small — sometimes just $10–$20 per month.

 

Uninsured/Underinsured Motorist Coverage

South Carolina also requires that insurers offer Uninsured Motorist (UM) coverage, though drivers can reject it in writing. This coverage protects you when you're hit by a driver who has no insurance or not enough insurance to cover your injuries and damages.

SC has one of the higher rates of uninsured drivers in the country. Carrying UM/UIM coverage is one of the smartest additions to any SC auto policy — it ensures that if someone hits you and can't pay, your own insurance covers the gap.

 

Liability vs. Full Coverage — What's the Difference?

Liability-only coverage means you carry the minimum required by SC law — coverage for damage and injuries you cause to others. You have no coverage for your own vehicle damage in an accident, theft, weather events, or other incidents.

Full coverage is not a formal insurance term, but it typically refers to a policy that includes liability plus collision (your vehicle in an accident) and comprehensive (your vehicle from theft, weather, animals, etc.). Whether full coverage makes sense depends on the value of your vehicle, whether you have a loan or lease, and your personal financial situation.

If your car is paid off and worth less than $6,000–$8,000, the math often doesn't support paying for collision coverage. If you have a newer vehicle or a loan, lenders typically require it. We walk through this analysis with every client to make sure you're not paying for coverage you don't need — and not missing coverage you do.

 

Working With an Independent Agent in Lexington SC

At Mauldin Insurance Group, we represent multiple carriers and shop your auto coverage side by side to find the best combination of limits and price. We also make sure you understand what you're buying before you buy it — which is how you end up with coverage that actually protects you, not just the minimum the law requires.

Whether you're new to South Carolina, shopping for better rates, or just want a second opinion on your current policy, we're here to help — at no cost.

 

Questions about your SC auto coverage? We'll review it for free. Call or text: (803) 920-8827 mauldininsurancegroup.com/auto-home-insurance-lexington-sc