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Charleston, SC Business Licensing & Operations: Towing Companies (2026)

Significant Restrictions
Compiled from the official code textEditor Martyn O'NeillLast verified September 2026

Key Facts

Permit required
Towing permit, § 19-396, $10 per truck
Insurance minimum
$100,000 garage liability coverage
Max tow rate under 10,000 lbs
150% of franchise fee or average bid
Drop charge cap
50% of maximum tow rate
Storage fee cap
$6 first 24 hrs, $15 each after
Permit violation penalty
Up to $500 fine or 30 days jail

Summary

Any towing carrier performing nonconsensual tows in Charleston must first obtain a $10 annual towing permit from the department of traffic and transportation under § 19-396, carry at least $100,000 in garage liability insurance, and post required signage. City Code § 19-400 then caps what the carrier can charge, tying the maximum rate to the city's franchise towing fee for that quadrant.

No towing carrier engaged in the business of performing nonconsensual tows shall operate within the corporate limits of the city without obtaining a towing permit from the department of traffic and transportation. ... The maximum rate that may be charged for a nonconsensual tow of a vehicle with a gross vehicle weight rating of less than ten thousand (10,000) pounds shall be no more than the greater of one hundred fifty (150) per cent of the city's most recent franchise towing fee for that towing quadrant of the city or the average amount of the bids received for that towing quadrant of the city after throwing out the highest and lowest bid, which shall include charges for all services rendered including, but not limited to, hookup fees, gate fees, and all other services rendered in performing such private property tow, except as stated elsewhere in this section.

View official code

Official source re-checked September 7, 2026: no newer edition of the code had been published (publisher’s edition: Code of Ordinances: Supplement 114 | Zoning: Supplement 25).

Full Breakdown

Article XIII of Chapter 19, added by Ordinance No. 1997-116 in 1997, opens with council findings that vehicle owners are 'at the complete mercy of the tow truck operators' when towed without consent, subjected to price gouging and confusing pickup logistics. Section 19-396 requires any towing carrier performing nonconsensual tows to obtain a permit before operating in the city, with an application covering corporate structure, equipment lists, storage facility details, and certificates of insurance: no less than $100,000 in garage liability coverage and $50,000 in garage keepers liability coverage per vehicle.

The permit costs $10 per tow truck, renews every February 1 at the same rate, and operating without one exposes the carrier to a fine of up to $500 or thirty days in jail under § 19-396(b). Before towing from commercial property without the vehicle owner's consent, § 19-399 requires the property to be posted with signs at least six square feet in size, warning of towing, the telephone number to call, and the address for vehicle release; the towing carrier must telephone the police department within thirty minutes of the tow to report it, and any carrier missing the one-hour notice window forfeits its towing and storage fees.

Carriers must stay staffed twenty-four hours a day, seven days a week, to release vehicles on request. Section 19-400 caps the maximum nonconsensual tow rate for vehicles under 10,000 pounds at the greater of 150 percent of the city's most recent franchise towing fee for that quadrant or the average competitive bid for the quadrant, limits any drop charge to retrieve a vehicle before it is towed to fifty percent of that maximum, caps dolly fees at $10, and caps storage at $6 for the first 24 hours and $15 for each subsequent 24-hour period.

Violations & Fines

Operating as a nonconsensual towing carrier without a permit, or violating the rate caps and signage requirements of §§ 19-396 through 19-402, carries a fine of up to $500, up to thirty days in jail, or both, under §§ 19-396(b) and 19-400(g). Every entity that performs nonconsensual tows must also post a city-provided sign at its payment location disclosing the maximum fees and accepted payment methods under § 19-402, and must accept major credit cards without a surcharge under § 19-401.

Frequently Asked Questions

Does a towing company need a permit to tow cars in Charleston without consent?
Yes. Under City Code § 19-396, no towing carrier may perform nonconsensual tows in Charleston without first obtaining a towing permit from the department of traffic and transportation, which costs $10 per tow truck, renews every February 1, and requires proof of at least $100,000 in garage liability insurance.
What is the maximum a Charleston tow company can charge for a nonconsensual tow?
For a vehicle under 10,000 pounds, § 19-400 caps the charge at the greater of 150 percent of the city's most recent franchise towing fee for that quadrant or the average competitive bid received for the quadrant, and storage is capped at $6 for the first 24 hours and $15 for each additional 24-hour period.
What signage must a private lot post before towing my car?
Under § 19-399, the property must display signs at least six square feet in size that are clearly visible at every entrance, warn that vehicles will be towed at the owner's expense, and list the phone number and address to retrieve the vehicle; all signage must also be approved by the director of traffic and transportation.

Sources & Official References

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