State rejects proposed homeowners insurance increases
Posted December 19, 2014 10:50 a.m. EST
Updated December 19, 2014 3:52 p.m. EST
Raleigh, N.C. — North Carolina Insurance Commissioner Wayne Goodwin on Friday limited homeowners insurance rate increases, rejecting insurers' requests to raise rates by an average of 25 percent statewide.
“The rates I have ordered are the result of the most thorough inspection of North Carolina homeowners insurance rates in more than 20 years,” Goodwin said in a statement. “After considering all of the evidence and data available, I have determined that no factors or events justified the excessive rates requested by the insurance companies.”
The rates that take effect next June vary by territory and type of insurance. On average, homeowners insurance rates will drop by 0.3 percent, renter’s insurance rates will go up by 11.2 percent and condo owner’s insurance rates are to increase by 8.1 percent.
In Wake and Durham counties, for example, the approved rate will drop by 4.1 percent, compared with a requested increase of 24.8 percent in Raleigh and Durham and 32.6 percent elsewhere in the counties.
Homeowners in Orange and Chatham counties will see their rates drop by 14.3 percent, while those in Cumberland County will see a 0.6 percent decrease.
Goodwin approved the largest rate increase, 21.4 percent, in Avery and Mitchell counties, and other locations in western North Carolina also will see hefty increases. Meanwhile, homeowners along the coast, who usually see insurance rates spike will mostly see lower rates next year.