NC insurance commissioner rejects 42% rate hike on homeowners insurance
North Carolina Insurance Commissioner Mike Causey has rejected insurance companies' request for a 42% average rate increase to homeowners insurance.
“I haven’t seen the evidence to justify such a drastic rate increase on North Carolina consumers,” Causey said in a statement Tuesday.
The North Carolina Rate Bureau, which represents insurance companies, asked for an increase ranging from 4% in the mountains to 99% in some coastal counties. For Mecklenburg County, the requested hike is 41%.
The Department of Insurance received more than 24,000 comments on the proposal, according to Causey.
“North Carolina consumers deserve a more thorough review of this proposal. I intend to make sure they get that review,” Causey said.
Insurance companies say inflation and damage resulting from climate change are boosting the cost of repairs.
Causey has set a formal evidentiary hearing on the rate request for Oct. 7. But the two sides could come to an agreement before then.