How proposed increases to homeowners insurance could impact people looking to buy or sell property

WILMINGTON, NC (WWAY) — The North Carolina Department of Insurance held a public forum Monday for people to comment on the proposed rate increases to homeowner’s insurance.

Beach areas in Brunswick, New Hanover and Pender County could see the largest increase in the entire state. Current proposals are asking for a 99.4 percent increase for those areas.

While existing homeowners will be affected, those looking to sell or build a home could also be hit by the rate hikes.

“I think you’ll see a lot of people considering paying off their properties so they don’t have to carry those insurances,” Terry Espy with Momentum Companies said. “It will change how commercial brokerage is done because when property is sold, its based on a cap rate. And of course, every dollar paid out in additional insurance reduces the profitability.”

You can send comments about the proposed rate increases to the Department of Insurance until February 2nd to  NCDOI.2024Homeowners@ncdoi.gov.