In what will be an issue across North Carolina, the 2012 homeowners insurance rate filing was posted on the Rate Bureau website yesterday. CLICK HERE to see the filing.
The filing identifies a “state average rate level change of 17.7%” but the proposed increases in New Hanover, Brunswick and Pender are 30%. The rates are scheduled to take effect on new or renewal policies on or after June 1, 2013.
From page A-3:
Territory 8 “coastal beach area” — current rate $1522 — filed rate $1979 (30% increase)
Territory 52 inland New Hanover, Pender, Brunswick — current rate $1050 — filed rate $1365 (30% increase)
*Please note that these rates are for $75,000 coverage
These proposed increases follow the rate increases that coastal homeowners have faced in every rate cycle since 1992. In 2009, 63 counties saw rates increase. Mainland New Hanover, Brunswick, Pender, Onslow Counties faced 30% increases at that time and the beach areas faced 17.5% increases. Keep in mind that rates in our coastal counties are already 2-3 times higher than inland counties for the same perils: fire, theft, etc. Additionally, coastal homeowners all have separate wind policies on top of the higher rates.
Legislation spearheaded by Sen. Harry Brown and passed during the 2012 General Assembly session will provide the public input in this process. For the first time, “a filing by the Rate Bureau shall be open to public inspection immediately upon submission to the Commissioner. All property insurance rate filings shall be open to the public…. At least 30 days before a notice of hearing issues, the Department shall receive comments from the public regarding a property insurance rate filing. The comments may be provided to the Department by e-mail, mail, or in person at a time and place set by the Department.” To view the legislation, click here.
Your BASE staff will continue to remain engaged on this issue as the public input opportunity approaches. If you have questions or concerns, please contact BASE at 910-799-2611.