Home insurance rate hike rejected

North Carolina Insurance Commissioner Mike Causey on Feb. 6 said "no" to the insurance companies' average 42.2% proposed increase in homeowners' insurance rates. "I haven't seen the evidence to justify such a drastic rate increase on North Carolina consumers," Causey said. "The Department of Insurance has received more than 24, 000 emailed comments on this proposal, with hundreds more policyholders commenting by mail. Scores more consumers spoke during a public comment forum. North Carolina consumers deserve a more thorough review of this proposal. I intend to make sure they get that review."

The North Carolina Rate Bureau, on behalf of the insurance companies writing policies in the state, proposed the rate hikes. The rate bureau is not affiliated with the N.C. Department of Insurance. Macon County's proposed increase would have been 8.5%, along with Cherokee, Clay, Graham and Jackson counties. Increases varied from 4.3% for Haywood, Madison, Swain and Transylvania counties to 99.4% for the southeastern North Carolina beach communities. In the notice for the hearing, Causey called the insurance companies' proposed increase "excessive and unfairly discriminatory." Causey has set a hearing date for Oct. 7 at 10 a.m. State law gives the Insurance Commissioner 45 days to issue an order once the hearing concludes.