Mobile home insurance rates in North Carolina to increase over next two years
A settlement has been reached between insurance companies and state regulators that will lead to a rate hike for insurance policies that cover mobile homes in North Carolina starting later this summer.
Rates in Currituck, Dare and Hyde for new and renewing Mobile Home-Fire policies will be increasing by 15% starting on September 1, 2025, and another 15% on August 31, 2026, while Camden, Pasquotank, Perquimans, Chowan, Tyrrell and Washington counties will see increases of 13% both this year and next year.
Mobile Home-Comprehensive policies, which cover structures, contents and liability, will be going up 12.9% in the Outer Banks counties, and 9.1% in the counties just inland, both in 2025 and 2026.
The average increases statewide are 11% per year for MH-F policies, 8% for MH-C policies, according to settlement documents, and affects around 148,000 policyholders across North Carolina.
Also included in the settlement is that the North Carolina Rate Bureau will not seek another increase before Sept. 1, 2027, and a hearing on the request that was scheduled for May has been cancelled.
“I am happy to announce that North Carolina mobile homeowners will save more than $10 million a year in premium payments compared to what the insurance companies requested, Insurance Commissioner Mike Causey said.
“I am also glad the Department of Insurance and insurance companies have avoided a lengthy, expensive administrative legal battle,” Causey said.
“Our request was a reflection of the escalating costs we can all see across our economy,” said Jarred Chappell, the Rate Bureau’s Chief Operating Officer.
“New mobile home prices alone increased more than 60% in North Carolina from 2018 to 2023,” Chappell said, citing a New York Times article.
“Add in climate change, which makes damaging storms stronger and less predictable, and you start to see the challenges this industry faces, like many others,” Chappell said.
The agreement announced Tuesday was much smaller than the original request submitted last April by the Rate Bureau, which represents companies writing insurance policies in North Carolina and is a separate entity from the state Department of Insurance.
The Rate Bureau’s original request called for an overall statewide average of 82.9% increase for MH-F policies and an overall statewide average of 49.9% increase for MH-C policies that would have been spread over three years.
