The South Carolina Second Injury Fund separated from the Industrial Commission and became a separate state agency in 1974. It protects employers from the higher cost of insurance that can occur when an injury combines with a prior disability to result in substantially increased medical or disability costs than the accident alone would have produced. The Fund also ensures payment of workers’ compensation benefits to injured employees whose employers have failed to comply with the coverage provisions of the Workers’ Compensation Law.

The Second Injury Fund was terminated effective July 1, 2013 and all remaining obligations and residual activity were transferred to the Budget and Control Board. Effective July 1, 2015, the Insurance Reserve Fund-Second Injury Fund Operations has been transferred to the State Fiscal Accountability Authority.

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