NC Insurance Commissioner: Auto rate increase unwarranted

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Officials at the North Carolina Department of Insurance said Friday that a requested 13.8 percent average statewide increase in auto rates is unwarranted.

NCDOI said the rate increase was submitted February 1 by the North Carolina Rate Bureau, an independent organization representing all auto insurance companies doing business in the state.

"Since then, Commissioner Mike Causey and Department experts have reviewed the filing thoroughly and determined that a rate increase is not justified based on the data submitted," NCDOI said in a news release.

A hearing on the issue is set for Sept. 11, 2017, at 10:00 a.m. at the Department of Insurance, located now in the Albemarle Building in downtown Raleigh.

A hearing officer will listen to testimony from experts on both sides of the issue and decide what rate change, if any, is warranted.

"If the Rate Bureau wishes to appeal that decision, it can do so through the court system, and companies can raise rates while awaiting a decision from the courts. The difference in the ordered rate and the implemented rate must be held in escrow. If the Bureau loses its appeal, the escrowed money must be refunded to policyholders who paid too much," said the NCDOI.
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