|January 5, 2018
request for rate increases reaching 25 percent along the coast was
turned down by the state insurance commissioner and has been scheduled
for a July 23 hearing.Here’s how the Department of Insurance describes the process:
The North Carolina Rate Bureau, which represents the industry, had
asked for an average 18.7-percent hike statewide, with increases even
higher in coastal counties. Western counties would have seen a much
lower increase, according to the state Department of Insurance.
“We are not in agreement with the Rate Bureau’s proposed increases
filed Nov. 17, 2017. The next step, according to statute, is to set a
hearing date,” Insurance Commissioner Mike Causey said in a statement
“After hearing and reading the more than 9,000 comments from residents
across the state and studying the figures in the filing, 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 in the Albemarle Building, 325 N. Salisbury St., Raleigh.
hearing will be held unless the N.C. Department of Insurance and N.C.
Rate Bureau are unable to negotiate a settlement before that date.
State law gives the Insurance Commissioner 45 days to issue an order
once the hearing concludes. This means the order could be issued in
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.
order of no change resulted from the last request for an increase,
which was in 2014. In 2012, a request for a 17.1 percent increase was
reducd to 7 percent, which took effect in 2013.