Rep. Hudson and NC Congressional Delegation Urge NC Dept. of Insurance Commissioner to Reject Homeowner Insurance Rate Hikes

WASHINGTON, D.C. - Today, Congressman Richard Hudson (NC-09) joined Congressman Greg Murphy, M.D. (NC-03) and seven other members of the North Carolina Congressional Delegation urging North Carolina Insurance Commissioner Mike Causey to reject the proposed increase in homeowner insurance rates recommended by the North Carolina Rate Bureau (NCRB). Recently, the NCRB proposed a significant hike in homeowner insurance rates of an average increase of 42.2% statewide.

North Carolina Insurance Commissioner Causey has the authority to accept or reject the NCRB’s proposal. In 2020, he rejected the North Carolina Rate Bureau's initial request for a 24.5% rate increase and negotiated it down to 7.9%.

“President Biden’s failed policies have led to historic inflation and higher interest rates, making living expenses more costly for families in the Sandhills,” said Congressman Richard Hudson. “Raising insurance rates will only make the situation worse. I urge NC Insurance Commissioner Causey to intervene, reject these proposed hikes, and work with stakeholders to find a better solution.”

“The proposed surge in homeowner insurance rates will crush Eastern North Carolinians, particularly those residing along the coast,” said Congressman Greg Murphy, M.D. “Record inflation and historic interest rates have already skyrocketed the cost-of-living for folks across the country. Increasing rates dramatically will supercharge this crisis and make homeownership even more difficult to attain. I urge Commissioner Causey to exercise his authority to deny these rate hikes and work to establish a constructive path forward.”

Read the full letter here or below.

Dear Commissioner Causey:

We write this letter with great concern over the potential for increased rates on homeowners’ insurance. As you are aware, the North Carolina Rate Bureau has asked for an increase in homeowners’ insurance rates that would amount to an average increase of 42.2% statewide. Even more concerning, some coastal counties may see an increase of over 99%.

Thousands of our constituents are still struggling with increased inflation, interest rates, and housing prices. An increase of this amount will only exacerbate this cost-of-living crisis and make homeownership more difficult to achieve. While we understand it is natural for insurance companies to raise their rates, a rate increase of such a large amount would be devastating for our constituents.

On November 9, 2020, the North Carolina Rate Bureau asked for an average statewide increase of 24.5%. Fortunately, thanks to your leadership, the North Carolina Department of Insurance settled on an increase of 7.9%.3 We appreciate your office’s past engagement on this issue and are hopeful you will reject this request from the North Carolina Rate Bureau.

As your office continues to receive public comments on this issue, we appreciate you taking our views into consideration.

Sincerely,

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