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Homeowners to get break on beach plan insurance

READ MORE: Homeowners to get break on beach plan insurance
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North Carolina homeowners insured under the beach plan will get a break on rate increases. Most homeowners along the coast get their windstorm and hail insurance through the North Carolina Beach Plan. On Monday a judge ruled that one planned rate increase will be frozen, but another increase could be just around the corner. In January the North Carolina Insurance Commission rezoned it's insurance territories. Under the new zoning, beach town homeowners pay different insurance rates from those on the other side of the Intracoastal Waterway. Last year beach town homeowners paid nearly double the amount of costal homeowners for insurance coverage. The North Carolina Insurance Commission scheduled a 10 percent increase to take effect February first. That would have meant $200-$300 on insurance premiums for every $400,000 of coverage. But Monday a judge ruled former insurance commissioner Jim Long didn't follow proper procedures before approving the increase. Insurance agent Jim Moore said the commission needs to restructure the beach plan. “I think the people on the coast need to lobby to have their premium dollars put into an escrow account and returned down the road if the money is not needed for storms. Second, I think we have painted the insurance companies into a box, we need to relieve them of the potential assessments that could bankrupt them.” But folks living along the coast aren't out of the woods yet. Local homeowners could still be paying higher premiums beginning in May; 40% increase for costal homeowners and 20% percent increase for beach homeowners. Insurance agencies said the increase is necessary to prevent them from going bankrupt in the event of a big hurricane. A spokesperson for the North Carolina Insurance Commission said, "We don't want to have increases if they're not warranted, but the industry provided compelling data." Moore believes that data is just guesswork. “I just don't think you can predict the cost of a category 4 or 5 storm in North Carolina, when we've never had one.” If the NC Insurance Commission decides to go after the February increase, new commissioner Wayne Goodwin will have to repeat the process before it can take effect. That planned May increase could also face a freeze if Senator Boseman has any say. The senator sponsored a bill that would delay all insurance increases until July 2010.

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Gotta be about politics...

So, those of us at the coast now have to pay a huge amount towards additional HO coverage? Bottom line is the rest of the state should spread the cost around as they use our beaches for vacations year round. In addition, has anyone asked why the residents living in the rest of the state don't have increased insurance for their weather hazards? Residents in the NC mountains have wildfires and snowstorms that are a threat to these areas EVERY YEAR! The sandhills, piedmont, and triad also have significant ice storms and resulting damage EVERY YEAR, not to mention a massive hurricane would cause just as much, if not more, damage to inland counties has was demonstrated by Floyd and many hurricanes past. How is it that we see a Cat 3 hurricane or higher every 11-13 years on avg, which can also do tons of damage to inland counties, and the rest of the state sees severe weather conditions every year; however, us on the coast are singled out? This makes no sense... any attorney battling this? Am I making sense or do y'all think this is way off? I think these are legitimate questions that need to be answered.

RAPE

thats all that can be said about it....they are trying REALLY REALLY HARD to FORCE this country into Socialism...and as usual..we stand by and let them do it while we eat our Crunch N Munch and drink Pepsi curled up on the couch watching TV.

Apathy

I don't know if I agree with Guest7969 that there is a "Socialist" agenda out there. It seems to me that democrats are being democrats, thinking that big government will solve everything. (although in the past few years, the republicans seemed to have been on that same track, they just complain about it when it isn't their idea) But I do agree with him/her that apathy is one of this country's biggest problem. I hear they have found a cure for apathy .......... but nobody cares.

Do they really want to see

Do they really want to see what will happen to this community's housing market and forclosure rates if they increase our insurance premiums by 40%??? That is just a death wish for the coastal housing market and for those of us who are trying to live and work in these communities. Housing costs are already way to high for the available job market.....I guess living on the coast really is only going to be for the wealthy.