Andrew P. Neumayer, Respondent v. Philadelphia Indemnity Insurance Company, Primary Colors Child Care Center…

Summary

The South Carolina Supreme Court reversed the circuit court, holding that Section 38-77-142(C) does not void a standard notice and cooperation clause in an automobile liability policy that provides limits above the statutory minimum, and that an insurer may rely on such a clause to deny coverage above the minimum only if it shows substantial prejudice. The Court also affirmed that insurers must still pay the statutory minimum limits regardless of prejudice.