The day before the start of hurricane season, the Senate took steps to shore up South Carolina's coastal insurance market.

In amendments to a bill that passed the House earlier this month, the Senate proposed solidifying the wind pool expansion that took effect March 30. The expansion moved the line of last resort insurance to include parts of James and Johns islands. However, the Senate did not make permanent an additional expansion that takes effect today and includes parts of Mount Pleasant up to U.S. Highway 17.

The legislation is part of Insurance Director Scott Richardson's response to insurance rates rising as much as 400 percent in hurricane-prone areas. Insurers have dumped policies and raised premiums along the coast, leaving thousands of property owners uninsured or struggling to pay for protection.

State Rep. Harry Cato, R-Travelers Rest, said the insurance-friendly proposals already have helped stabilize the market. Some insurance companies that had planned to cancel more policies decided not to, said Cato, chairman of the House Labor Commerce and Industry Committee.

Sen. Glenn McConnell, R-Charleston, urged his colleagues to provide some relief to coastal residents on the day before the start of hurricane season — even though the bill would not go as far as he would like.

But it is an opportunity to do something to alleviate the situation many coastal residents found themselves in during the past year, he said, as insurance companies canceled policies or hiked rates in the windstorm area.

Sen. Chip Campsen, R-Isle of Palms, said that if the bill becomes law, it will provide relief to coastal residents, but other fixes can't be legislated.

"I think it will in the long run make a difference," Campsen said. "But people do need to understand as well really the two driving forces are the law of nature and the law of supply and demand."

The foundation of the 53-page bill is offering incentives to both residents and insurance carriers, including tax credits for those who make their homes more hurricane resistant and to companies that provide full coverage to coastal residents. Gov. Mark Sanford said the market-based incentives are key to a solution that increases competition and ultimately drives down premiums.

The bill now also requires companies to give property owners 90 days notice if their policy will not be renewed and the expiration falls within hurricane season. Hearings also will have to be held annually to update the public.

The bill requires another perfunctory vote before heading to the Senate.

Gov. Mark Sanford is likely to sign the bill once it reaches his desk, since it focuses on incentives rather than tougher regulation of insurance companies.

This is good news for local resients and Realtors alike.