North Carolina regulator denies 42% home insurance rate increase request
The state insurance commissioner called the proposed increase ‘excessive and unfairly discriminatory.’
North Carolina Insurance Commissioner Mike Causey denied a proposed 42.2% (averaged) home insurance rate increase, noting that he did not see evidence to justify the increase and that homeowners were shocked by the request.
During a notice hearing, Causey called the proposed increase “excessive and unfairly discriminatory.” Rates proposed by the North Carolina Rate Bureau ranged from 4.3% for some mountain counties to 99.4% for coastal areas.
Regions that faced the highest proposed rate increases included Brunswick, Carteret, New Hanover, Onslow and Pender counties, insurance department documents indicate. Rate increases of 71.4% were proposed for eastern coastal areas stretching across nearly 40 ZIP codes.
“The Department of Insurance has received more than 24,000 emailed comments on this proposal, with hundreds more policyholders commenting by mail,” Causey said in a release. “Scores more consumers spoke during a public comment forum. North Carolina consumers deserve a more thorough review of this proposal. I intend to make sure they get that review.”
North Carolina law grants the insurance commissioner 50 days to review the rate proposal and determine if it meets actuarial standards.
Causey has set a hearing for Oct. 7, 2024, to further review proposed rates. He will have 45 days after the hearing to issue an order.
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