D. Prejudgment Interest

• Library: South Carolina Damages (SCBar) (2009 Ed.)

D. Prejudgment Interest

Prejudgment interest is generally recoverable under breach of contract where parties have agreed to payment of a sum certain.⁷⁷ If the amount is ascertainable but not a sum certain, then prejudgment interest must be pled and proved.⁷⁸ Insurance benefits or claims are usually sums certain or could be calculated at the time a claim is made. Prejudgment interest does not begin to accrue immediately:

[A]n insurer [has] a reasonable period in which to investigate a claim... However, once that period is over and the insurer still refuses to pay a claim for which it is liable, in the absence of a policy provision to the contrary, interest should be computed from the date of loss.⁷⁹

Interest is provided by statute.⁸⁰

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Notes:

^[77] See Calhoun v. Calhoun, 339 S.C. 96, 102, 529 S.E.2d 14, 18 (2000).

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