FAIR Plan proposes 9.9% rate increase for Cape [Cape Cod Times, Hyannis, Mass.]
|By Robert Gold, Cape Cod Times, Hyannis, Mass.|
|McClatchy-Tribune Information Services|
But the Cape and Islands and
Without the cap, the insurance association's formula called for a 13.3 percent rate increase on the Cape, Tommasino said.
The last FAIR Plan increase was in 2006, when homeowners insurance rates jumped 25 percent on the Cape and Islands.
The FAIR Plan, formally known as the
Tommasino said it would provide more detailed information this year in seeking the increase.
The FAIR Plan is often considered the insurance of last resort. About 55,000 households on the Cape and Island are insured under the plan, Tommasino said.
The insurance association administration said the Cape would witness higher rate hikes than inland areas partly due to hurricane models.
"Hurricane models are predicting there would be more significant losses on
"I can't believe they aren't coming in with a reduction," she said, arguing the hurricane prediction models don't use state-specific data.
"I really think the Cape and Islands falsely paying extra money based on predictions of events that have no correlation at all with reality," she said.
The state insurance division typically schedules a public hearing on the rate requests within 30 days of the filing, Tommasino said. The FAIR Plan filed the request
Aschettino and a busload of Cape residents opposed to the rate hike took a bus to
"I am very concerned about this increase again, an unjustified increase," she said.
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