The North Carolina Rate Bureau, which represents insurance companies that provide coverage in NC, has asked the state Department of Insurance for an average of 17.7% increase in homeowner policies, and even higher for coastal communities which could go as high as 30%.
According to HomeInsurance.com, the average home insurance rate in North Carolina is $654, or $55 a month. This proposed rate increase would mean an extra $10 every month that the avg. family would have to pay starting June 1st 2013. This would especially affect families on fixed and tightly budgeted incomes. The effect on insurance companies would show as a dip in their enormous profits; something I'm sure they could handle for a few more years.
The Insurance Commission should shelve this idea for now, and allow the home prices and rebuilding costs to catch up with what the city/county believes the home is worth.
This is one of the only times that the citizens are allowed to have a say in this matter, so please speak up and let Mr. Mack know that this is an unacceptable percentage. The filing will be reviewed by Department experts to determine what, if any, rate adjustments are warranted.
For interested parties who would like to weigh in on the rate requests in person, there will be a public comment session on on Oct. 17 from 9:30 a.m. to 4 p.m. in the Jim Long Hearing Room of the Dobbs Building, 430 N. Salisbury St., Raleigh.