Skip to Main Content

South Carolina Workers' Compensation

A guide discussing relevant issues and statutes regarding South Carolina Worker's Compensation law.

What is Workers' Compensation?

Workers' compensation is a body of law that handles cash and medical benefits to employees who have been injured or have became ill as a result of their job. In South Carolina, workers' compensation is considered an "exclusive remedy," meaning the injured employee cannot bring an action against his employer in tort law, so his/her only remedy is workers' compensation. In South Carolina, workers' compensation is also considered a "no-fault" system as commissioners and judges do not weigh negligence or assess fault in determining whether the injured employee is entitled to compensation.

In South Carolina, the governor, with the advice and consent of the State Senate, appoints seven commissioners for the South Carolina Workers’ Compensation Commission. Commissioners act as judges for workers compensation cases at the first trial level and first appellate level: the single commission and full commission. Commissioners serve terms for six years each. The governor also designates one commissioner to serve as chairman for a term of two years. The chairman is the chief executive officer of the Commission and is responsible for implementing the policies established by the Commission in its capacity as the governing board.

Who is Covered?

S.C. Code Ann. § 42-1-130 (2021) defines an employee as "every person engaged in an employment under any appointment, contract of hire, or apprenticeship, expressed or implied, oral or written, including aliens and also including minors, whether lawfully or unlawfully employed (. . .), so causal employees, volunteers, and agents are not covered under the statute. In determining the employer's right of control and whether the injured party is an employee, the Court examines four factors: (1) right or exercise of control; (2) furnishing of equipment; (3) method of payment; (4) right to fire. Wilkinson ex rel. Wilkinson v. Palmetto State Transp. Co., 382 S.C. 295, 676 S.E.2d 700 (2009). Also, for potential out-of-state claimants, South Carolina Workers' Compensation is only applicable if it is (1) the state where the accident occurred, (2) is the state where the employee was hired, or (3) is the state where the employment is located. S.C. Code Ann. § 42-15-10 (2021).

Should I get Workers' Compensation Insurance?

Employers, under the South Carolina Workers' Compensation statutes, must receive Workers Compensation insurance if they have four (4) or more employees. However, as previously stated, volunteers, agents, and casual employees do not count towards the employee count. There are also several more exceptions in South Carolina. Any employer who had a total annual payroll during the previous calendar year of less than three thousand dollars ($3,000) regardless of the number of persons employed during that period is exempt. S.C. Ann. § 42-1-130. Other exemptions under the statute include county and state fair associations, agricultural employees, railroad employees, federal employees within the state, and real estate agents on a straight commission who have signed a valid independent contractor agreement with the broker. Id.

Commissioners

T. Scott Beck (Chairman)