Insurance companies recently filed a request to increase homeowners’ insurance rates statewide by an average of 25.3%, with some communities facing increases as high as 35%. Insurance Commissioner Wayne Goodwin invited members of the public to comment on the proposal by January 31. The NC Association of REALTORS opposes the hike in homeowners’ insurance rates.
Our immediate area is targeted at 35% as well as most coastal areas. Here is the link to see every county’s rate hike. http://www.ncdoi.com/Media/Documents/1-7%20Homeowners%20Proposed%20Changes%20by%20Territory.pdf
As a NC REALTOR, I oppose this sweeping rate hike as does the NC Association of REALTORS. We have until January 31st to make our comments heard. We ask that you join REALTORS across the state and send a message to the Commissioner’s office asking that the proposed rate increases be denied. Please email Commissioner@ncdoi.gov to message his office directly.
The official comment from the NC Association of Realtors is below:
1. The proposed rate increases are excessive. The average increase statewide is 25.3 percent, and some territories face an increase as high as 35 percent. Insurance rates have increased dramatically in recent years, with the most recent approved rate hike only six months ago.
2. The proposed rate increases do not accurately reflect risk. The wide discrepancy of proposed rate increases are disturbing and do not match the historical information on location of claims paid by the insurance companies. Factors such as stronger building codes in coastal communities appear to be ignored when determining rate increases. Moreover, the rate increases may seem similar across the state, but this does not account for the higher rates for fire and theft.
3. The proposed rate increases will negatively impact the housing market by impairing home ownership opportunity, increasing costs, reducing property values, and deterring investment.
REALTORS® also call on you to support legislation to require transparency and simplicity in the rate-making process, and to require the use of historical data in the filings.
Thank you,
Wisdom
