N.C. home insurance increase set for October hearing

The Associated Press

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RALEIGH — North Carolina’s top insurance regulator says a hearing for insurance companies to explain their request to raise the cost of homeowners coverage by an average of 25 percent won’t come until October.

Insurance Commissioner Wayne Goodwin said Tuesday the public hearing has been rescheduled from August to Oct. 20. Goodwin ordered a hearing because his staff determined the proposed rates appeared to be excessive and unfairly discriminatory.

North Carolina homeowners saw an average 7 percent increase a year ago, but companies said they needed more due to damage and claims projections. Experts hired by the North Carolina Rate Bureau say to ensure an insurance market with price competition, choice and the financial stability needed to pay claims calls for profit margins averaging about 10 percent.