Washington--The insurance industry has established reform ofSouth Carolina's workers' compensation system as its toplegislative priority in that state for this year, insurers' tradegroup representatives said.

But while legislation to reform the system has been introducedin both houses of the South Carolina General Assembly, promptaction is not likely, according to a staff official of the AmericanInsurance Association.

The bills call for dissolution of the state's Second Injury Fundwhich pays an employer's additional insurance cost when an employeewith a prior disability is injured. The intent is to put thenon-disabled and disabled on an equal footing when it comes tohiring. The fund also ensures payment of workers' comp benefits toinjured workers whose employers fail to comply with workers' complaw coverage provisions

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