South Carolina received $66.8 million this week from the 2025 annual Master Settlement Agreement (MSA) with major U.S. tobacco companies, Attorney General Alan Wilson announced Friday.
The MSA, signed in 1998, provides states with yearly payments to offset healthcare costs linked to tobacco use. South Carolina has now received over $2.05 billion since the settlement’s inception. Most of this year’s payment will go to the state’s Medicaid program through the S.C. Department of Health and Human Services, according to a press release from the AG’s office.
The Attorney General’s Office enforces MSA terms and works with other states to ensure compliance. Nearly 50 additional tobacco firms have joined the original agreement, which restricts tobacco advertising and marketing.
Despite collecting $22.1 billion in tobacco-related revenue nationwide this year, states will spend only 3.5% on prevention and cessation. The SC Budget Office reported that South Carolina spent $6 million last year—just 11.8% of the CDC’s recommended amount—ranking 31st in the nation.
Health advocates continue urging states to invest more in prevention, especially following recent settlements