Coastal towns speak out against significant proposed homeowners insurance hike

SUNSET BEACH, NC (WWAY) — Several towns and cities in the Cape Fear are expressing concerns about a proposed homeowners insurance hike.

The North Carolina Rate Bureau filed a request with the Department of Insurance to raise homeowners insurance rates.

If approved, this would be the first time rates have increased in North Carolina since 2020.

A 99.4% increase, which has been proposed for Brunswick, Pender, New Hanover, and several other counties, is the highest proposed hike in the entire state.

The Department of Insurance said insurance companies are listing inflation and more instances of severe weather as the reasons they’re asking for such a big increase.

Sunset Beach Councilman Charlie Nern said the town could see some people move out if the proposed hike is approved.

“People here are on a fixed income, a lot of them, and with cost of living increases, an increase of that size, in addition to the increase in property values would make this almost impossible for some people to live here,” Nern said.

Sunset Beach finance director Tara Nichols said residents who want to weigh in on the proposed increase can submit public comments for the town council to hear at its February meeting.

“The citizens, the community members of Brunswick County can submit their comments to them in opposition, support, however, whatever you feel about it,” Nichols said. “So that the town, the community has a voice that way.”

While coastal communities would see the biggest increase, insurance companies are asking for a rate increase of 42% across the entire state.