RALEIGH, N.C. — Thousands of North Carolina homeowners are calling on the state to deny a request to increase insurance rates.
Insurance companies are asking to jack rates up for homeowners insurance by an average of 42% statewide. On Monday, the North Carolina Department of Insurance held a public hearing on the proposal.
An NCDOI spokesperson previously told WCNC Charlotte that insurance companies are attributing this huge rate hike request to inflation and an increase in severe weather events.
However, many homeowners feel like they're already drowning in the rising costs of living.
"This could kick people out of their homes," homeowner Nicole McKenna said at Monday's hearing.
The agency had received more than 9,000 comments before the virtual and in-person hearing started in Raleigh on Monday, an NCDOI spokesperson said.
"This rate hike increase does not need to happen," North Carolina realtor Carlla DeGraffenreid said.
PREVIOUS COVERAGE: NC homeowners could see insurance rate hike
Many homeowners are still adjusting to the increase that took effect in 2022, which came after a 2020 rate hike request by the insurance industry. At that time, insurance companies requested an average 25% rate hike statewide. North Carolina Insurance Commissioner Mike Causey agreed to an 8% statewide increase, on average.
Now, homeowners are bracing for another jump on their bills.
"I find it incredibly insulting that the insurance industry is asking for this," one speaker said.
"I truly don’t understand how any person could be okay with this," McKenna added.
The latest request would increase rates by an average of 42% statewide, with some coastal counties seeing their rates doubled. Many homeowners who spoke Monday feel left in the dark as to why.
"There doesn’t seem to be really any transparency at all," homeowner Mikey Mulford said.
Public speakers like Mulford asked for better publicity of the proposal, especially in underserved areas.
"There's a shameful number of homeowners that don’t know about this proposed hike," McKenna said.
Causey is tasked with denying the request or negotiating with the insurance companies. Causey said in a statement that he didn’t attend Monday’s hearing to stay impartial, adding that the request is “a lot” and the agency is, “working tirelessly to determine whether the Rate Bureau’s proposed increase is, 'excessive, inadequate or unfairly discriminatory.'”
Insurance companies want the new rates to take effect this August, but NCDOI could push that date back.
The agency is accepting written comments on the proposed rate hike through Feb. 2. According to the NCDOI, emailed public comments should be sent to: 2024Homeowners@ncdoi.gov.
Written public comments must be received by Kimberly W. Pearce, Paralegal III, and addressed to 1201 Mail Service Center, Raleigh, N.C. 27699-1201.
Contact Julia Kauffman at jkauffman@wcnc.com and follow her on Facebook, X and Instagram.