CHARLOTTE, N.C. — Insurance companies want homeowners to pay more for homeowners’ insurance.
They're asking for an 18.7 percent average rate increase in North Carolina.
"It's going to get everybody in the pocketbook," Charlotte resident Paul Jones said. "Everything continues to creep up until what's the breaking point for people?"
Some counties face even bigger hikes.
For example, Mecklenburg homeowners could see rates climb 23.5 percent to 36.6 percent. A few counties in the Charlotte area would see a drop in rates, slight drops, but drops nonetheless. Those counties include Anson, Avery, and Richmond counties.
[LIST: NC Counties and Insurance Rates]
North Carolina's Rate Bureau represents insurance companies. It needs the Insurance Commissioner to sign off on the request. He recently said no, but that doesn't end it. Both sides are negotiating. If they can't agree, they'll have a hearing in July. After that, they could even end up in court.
[NC insurance commissioner nixes higher home insurance rate]
In 2012, the Rate Bureau asked for an average 17.7 percent hike and ended up with 7.7 percent. In 2014, it asked for an average 25.3 percent increase and was shot down. So insurance companies haven't been able to raise homeowners' rates in about six years.
Rate Bureau General Manager Ray Evans said insurance companies are having trouble keeping up with inflation. He said they're actually falling behind.
Evans told Action 9 investigator Jason Stoogenke they want to catch up and make sure they can cover claims moving forward. If they can't, customers could have a harder time buying coverage.
"Since we haven't had a change for a while, we're actually behind some," Evans said. "It might be difficult to buy coverage which might make it difficult to insure properties."
Technically, the comment period is over. Nine thousand homeowners voiced their opinions to the Insurance Commissioner.
If you have an opinion, you can weigh in. Write the Commissioner or state lawmakers.
Cox Media Group
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