Wednesday, April 15, 2009

No Increase Beach and Fair Plans

Below is a web posting from the North Carolina Insurance Underwriters, dated 4/15/09, that the previously state wind/hail increases will NOT go through.

This is great news for everyone: home owner, buyer, and seller!

A legal challenge to increases in certain Beach and FAIR Plan deductibles and surcharges approved by the Commissioner of Insurance in November of 2008 is underway. The commissioner approved these changes to be effective February 1, 2009. On March 20, 2009, the Wake County Superior Court stayed the Commissioner’s approval of these changes and remanded the matter to the Department of Insurance to conduct proceedings to develop findings to support the Commissioner’s decisions and create a record for appeal.

Pending final resolution of the legal challenge, the Beach and FAIR Plans are proceeding to implement a roll back of the deductibles and surcharges to the levels that existed prior to the effective date of the Commissioner’s approval of these changes. Staff is working with the Department of Insurance to accomplish this roll back to explain and implement all premium, deductible, and claims adjustments that are required.

This roll back does not apply to the NC Rate Bureau’s homeowners rate revision, which is to take effect May 1, 2009.


If you have insurance questions please feel free to contact Karen Shanley with Nationwide Insurance at 910-202-3676 or shanlek1@nationwide.com.

For more information on Wilmington NC Real Estate and Luxury Homes, click here!

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