make WWAY your homepage  Become a fan on facebook  Follow us on twitter  Receive RSS Newsfeeds  MEMBERS: Register | Login

FIRST ON 3: Beach homeowner insurance going up almost 20%

READ MORE:

RALEIGH, NC (WWAY) -- Insurance Commissioner Wayne Goodwin signed a settlement agreement today with homeowners insurance companies allowing an overall statewide average rate increase of 7 percent on July 1.

The rate for the beach area of Brunswick, New Hanover and Pender Counties will go up by 19.8 percent. Homeowners in the coastal area of those counties will go up by 8.6 percent. Bladen and Columbus County homeowners will see an almost 10% increase.

The insurance companies, represented by the North Carolina Rate Bureau, had requested an overall statewide average rate increase of 17.7 percent before the election on Oct. 1, 2012.

The difference between the requested and settled rates amounts to $237 million in savings to policyholders according to Goodwin.

Potential hurricane played a large role in the decision to hike rates along the Cape Fear Coast, according to Goodwin.

The last homeowners insurance rate filing occurred in 2008 when the insurance companies requested a 19.5 percent statewide average increase. A settlement agreement allowed for a 4.05 percent statewide average increase to go into effect in May 2009.

Disclaimer: Comments posted on this, or any story are opinions of those people posting them, and not the views or opinions of WWAY NewsChannel 3, its management or employees. You can view our comment policy here.

»

Insurance rates

I lived in CLT during Hugo and saw a lot worse damage inland. I now live in town in Wilmington, not on he beach in a home built in the 50's that has never had damage.... My risk is just as great as the rest of the east cost. My insurance should reflect that. Period. This is unfair and should be protested. I am already paying an additional wind and hail premium @ 2k a year that no one inland is paying. Enough is enough.

Additional Costs Cause Demand to Decrease

I understand. When homeowners continuously get hit with increases in fees, taxes, penalties, and other costs, they begin to rethink their investments. Are the costs worth the investment? Hike the water bill; hike the trash bill; raise the insurance rates; raise residential parking fees; raise state, county, and local taxes. There are surely other fees, fines, and penalties that are not mentioned here. But the point is they all add to the total cost of living in a beach area (or any area for that matter).

Will an 8-20% insurance rate increase create a desolate beach area? It probably won’t. However, renters and renting agencies will have to increase their rates to ensure revenues exceed costs. This means consumers (mostly tourists) will have to pay more.

On the other hand, is that so bad for locals? If tourists have to pay more, that means less tourists; right? Is that what we’re trying to achieve?

I once lived at the beach, and I know tourists can be annoying. If one more person parked in my yard, I was certain to break out my BB gun. But I realized we need those tourist dollars to fuel the local economy. So, we have to decide if the beaches are going to be exclusive to home owners or if they will be catering to tourist needs (demands).

There was once a small desert community that decided where the focus should be. But the name of that little town escapes me. I can’t recall if it was that successful. Their insurance rates probably crippled their economy. Oh yeah…Las Vegas! They managed to integrate high-end living with a tourist economy. So, what’s going on here?

Should the beaches be exclusive to the residents? Or should the focus be on tourism? The equilibrium point is so elusive!

DOSEN'T MATTER WHOS IN

DOSEN'T MATTER WHOS IN OFFICE, THINGS WILL KEEP GOING UP. MY HOMEOWNERS INS. GOES UP, AND I DON"T LIVE ON A BEACH. ALSO PROPERTY TAXES, WITH NO IMPROVEMENTS.

The figures

"The insurance companies, represented by the North Carolina Rate Bureau, had requested an overall statewide average rate increase of 17.7 percent before the election on Oct. 1, 2012."

"The last homeowners insurance rate filing occurred in 2008 when the insurance companies requested a 19.5 percent statewide average increase. A settlement agreement allowed for a 4.05 percent statewide average increase to go into effect in May 2009."

2009 request of 19.5 percent statewide. Received 4.05 percent.
2012 request of 17.7 percent statewide. Received 7.00 percent.

Good job Insurance Commissioner Wayne Goodwin.
I guess the economy is getting better for the Insurance industry.

It's that "potential" thing that drives the cost up.
But there's always the "potential" we won't get hit.
Maybe we should get "rebates" if we don't get a direct hit.
How about a NC homeowners tax credit if we don't have damage.

I forgot. The potential only goes up, never down.

Just

another politician in bed with big business.

INSURANCE RATES

CONGRATULATIONS PEOPLE FOR NOT PAYING ATTENTION TO WHO YOU WERE VOTING FOR. ITS EASY TO VOTE ACROSS THE BOARD FOR YOUR DEMOCT OR REPLUBL BUT NOT ALL ARE WORTHY OF A VOTE. PAY ATTENTION AND I BET HE WILL NOT BE RE-ELECTED... VOTE FOR THE WORKING PEOPLE NEXT TIME THAT ARE RUNNING FOR THIS SEAT. NOT A COMPANY PERSON WHO GETS PAID BUY THE INSURANCE COMPANIES

Guess it is time to sell my

Guess it is time to sell my house and move. There is no reason for an increase, there have been no hurricanes that have done any significant damage to our area in the past 10 years. Home prices have declined so the insurance rates should have also declined. This is an increase designed to put more money in the pockets of the insurance company and I hope the ones responsible for it are tracked down and thrown in jail.

"We Buy Homes"

"Guess it is time to sell my house and move"...(Unquote)

You must be referring to selling your home to the "We Buy Homes" folks...because no one in their right mind outside this area is going to buy into this fiasco of a Paradise called Wilmington...No One!

Oh really?

did you use your fingers or toes when counting? I guess Bertha and Fran do not count? 1996, 7 years ago. What about Floyd in 1998, I believe was the year; may be off on that.

Why not educate yourself and ask your agent specifically how rates are promulgated?

Study this...

really

Fran and Bertha 1996 Bonnie in 1998 and Floyd in 1999
more than 10 years in my book but I use OLD math so I might me wrong

Toes

Sounds like you might need to try the fingers and toes bit.

Redo

1996 is slightly more than 7 years ago.

He said in the past 10

He said in the past 10 years. Back to school for you.

1996 was seven years

1996 was seven years ago????

Our future is here and it is hopeless, listen to this guy! I KNOW he cannot be paying insurance premiums, must be a renter or something.

Not defending his math, I

Not defending his math, I think he probably made an honest mistake. Renters are affected just as much by these rate hikes as homeowners in that their rent gets raised to cover the cost.

Guess again

not only do I pay premiums; one of my companies would likely be the adjuster for your claim in the event of a storm impacting the coast.

Guess Again

I certainly hope they can count better than you.

Well, if you are an

Well, if you are an insurance adjuster, and you think Fran was seven years ago, maybe that helps explain a little of the problem with our insurance premiums being so high today.

What year do you think it is Surf City Tom?

Hopefully I'm reading you incorrectly, but did you just say 1996 was 7 years ago? Are you still stuck in 2003?

Not happy with increase but beach homes need to pay more

We have been subsidizing people on the beaches for way too long.Its time that they assume a larger share of their risk.

BTW,The 2008 insurance increase was less than 5%, now with the GOP running the show now the increase is twice as much. Boat fees going up, ferry fees going up. but incomes are going down. Elections have consequences.

GOP didn't cause this

Are you for really. This was caused by the Dems spending money they don't have. That is what is wrong with this country. When you borrow money you do have to pay it back. It so happens that the GOP is responsible enough to know that and is trying to do something about it.

maps

Does anyone know where we can find the maps for the area going up 20%.

Do you really need a map

to find the beach? Duh!

DUH

The lasy rate increase anyone on the East side of Market was in the beach area.. DUH !!!

Basically if you live on the

Basically if you live on the beach side of the intracoastal waterway in Brunswick county you could be looking at 19% increase. On the mainland side of the waterway you could see roughly an 8% increase. Hope that helps.

1% for many of the coastal counties, not 19%

After I heard the news I checked out the document attached to the press release from the department of insurance. Apparently many of the coastal counties are receiving either 1%, 3.4% or 8.6% (Wilmington) --- and NOT the "almost 20%" as you put it. I hope you correct your misleading news story; you do a disservice to your viewers and will unnecessarily stoke passions when the complete numbers are different than you report.

Zeb-

The beach counties are listed as territory 8:

http://www.ncdoi.com/media/Documents/3-5%20NC%20Territory%20Map.pdf

And Territory 7.
The rates are :
http://www.ncdoi.com/media/Documents/3-5%202013%20HO%20Rates%20by%20Terr...

I read that as 19.8% for our area.
Or am I mis-reading something?

Vog

Thank you that does help

Thank you that does help

Well no surprise here, if

Well no surprise here, if you re elect a democrat to such an important position you can expect some pretty dramatic consequences, yaw did it, now you get to live with it!