Insurance commissioner visits Kinston

Aug. 18--The state Department of Insurance is involved in all manner of things, from the obvious -- all the ins and outs that come with difference types of insurance -- to the less obvious, like pyrotechnic regulation through the Office of the State Fire Marshal.

But state Insurance Commissioner Wayne Goodwin said Tuesday there's a clear top priority for his department.

"The main purpose is consumer protection," Goodwin said at his campaign fundraiser at Olivia's on East Caswell Street. "And what consumer protection is several things -- one is making sure that people get what they pay for, make sure that the insurance and other products that people pay for provides them the coverage that they wanted, and also that it is not excessively priced and that they're not being discriminated against or defrauded in any way. Ultimately, the job is a balancing act."

He said the balancing comes because if there's not a business-friendly climate for insurers, that's going to hurt consumers because those insurers wouldn't be here to provide products and services to people.

"So, to strike that balance is to make sure my office doesn't make any decision that prevents the opportunity to make a reasonable profit for an insurance company," Goodwin said. "But I want to make sure, though, that they don't make excessive profits. In some states they haven't done that, but in this state ... I have a strong record of keeping rates as low as possible, and everybody wins with that."

Woodmen of the World National Director Danny Rice introduced Goodwin before he spoke to the attendees.

"He's done a great job for North Carolina as our commissioner of insurance," Rice said. "He's back for his second term -- as you know, he followed Jim Long, who did a fantastic job, and from a Woodmen's prospective, he's always responsive to the needs that we have. We don't always agree with his interpretation, but he's always responsive. Wayne and I go way back to Hamlet High School. I graduated and he went to Carolina as a Morehead Scholar."

Goodwin said that since his days in Richmond County he's been living in Raleigh, though he said he tries to get out and meet with people all over the state as much as he can. Indeed, he was in Kinston on Monday as well, giving an interview to Reece Gardner for TACC-9.

He noted that insurance, especially homeowner's insurance, can be higher in the eastern part of the state because of hurricanes and flooding concerns.

"Two weeks ago, the North Carolina Court of Appeals upheld a decision I made ... affecting homeowners insurance," Goodwin said.

The ruling came about because companies in 2014, through the state Rate Bureau, wanted to pursue rate hikes to the tune of 25.6 percent, and the NCDOI declined that proposal. It would've meant a 24.8 percent increase for owners, 54.9 percent increase for tenants and 50 percent increase for condominiums. In the proposal, the increases were to take effect Aug. 1, 2014.

"I rejected increases the insurance companies wanted to make, and when the court upheld it unanimously, it saved homeowners across our state -- especially in the East, because there are some reductions in the East with the decision -- but it saved homeowners $600 million," Goodwin said. "That's the type of approach we need in this office going forward -- preserving that what saves money, but being flexible."

Goodwin said if reelected, he plans to pursue what he called "strategic deregulation" of the state insurance industry.

"I mentioned a while ago there's a balance that needs to be struck -- there are some insurance commissioners in other parts of the country, and also my opponent, that would like to deregulate completely," Goodwin said. "If you deregulate without being smart about it, and you just deregulate in some broad pattern, the only people who benefit are the insurance companies."

He continued, "If we are smart about deregulation, we can have the flexibility for those new ideas and new types of products without giving up the low prices that we've got, and one of the most competitive car insurance markets in the country. We have more than 170 companies writing automobile insurance in this state. There are many states where they have nowhere near that type of competition, and competition is good."

Goodwin, the Democratic nominee, faces Republican nominee Mike Causey for the post Nov. 8.

Wes Wolfe can be reached at 252-559-1075 and [email protected]. Follow him on Twitter @WesWolfeKFP.

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