Thursday, August 31, 2023

Insurance Commissioner calls for a hearing on proposed dwelling insurance rate increase

Aug 31, 2023

North Carolina Insurance Commissioner Mike Causey has set April 8, 2024 as the hearing date for the North Carolina Rate Bureau’s proposed 50.6% dwelling insurance rate increase. 

“We are not in agreement with the Rate Bureau’s proposed increases filed July 13, 2023,” said Commissioner Causey. “The next step, according to statute, is to set a hearing date. It is now necessary to hold a hearing to reach a resolution that will make the most financial sense for our residents and insurance companies.”

The hearing will begin at 10 a.m. in the Second Floor Hearing Room at the Department of Insurance, 3200 Beechleaf Court, Raleigh.

The hearing will be held unless the N.C. Department of Insurance and the N.C. Rate Bureau are able to negotiate a settlement before that date. State law gives the Insurance Commissioner 45 days to issue an order once the hearing concludes. Once the order is issued, the NCRB has the right to appeal the decision before the N.C. Court of Appeals. A court of appeals order could then be appealed to the N.C. Supreme Court.

The NCRB and DOI can settle the proposed rate increase at any time during litigation.

The NCRB filed the average 50.6% dwelling increase on July 13. The filing covers insurance for fire and extended coverage at varying rates around the state. Under the NCRB proposal, the increases would be felt statewide with most consumers seeing a double-digit increase.

The last NCRB dwelling rate increase filing was in 2022 that resulted in a settlement of 9.9%, which took effect June 1, 2023.

Related Topics: