NC Dept. Of Insurance Message 4/12/24

Posted in: Madison Park

Insurance companies ask for more to insure mobile homes


Insurance companies have kept my staff and me busy this year. You may remember that the state’s insurance companies asked for a homeowners’ insurance increase of 42.2% back in January. They’d previously requested an average 50.6% rate increase in dwelling policies.


A few days ago, the North Carolina Rate Bureau, which represents insurers that write insurance in the state and is not a part of the Department of Insurance, delivered a request to increase mobile home insurance premiums. They’re seeking an 82.9% increase in mobile home fire (MH-F) premiums over a three-year period and a 49.9% increase in in mobile home casualty (MH-C) premiums over the same period.


The two programs are similar. However, the MH-F program covers a broader range of perils. Unlike standard homeowners’ programs, both the MH-F and MH-C programs include flood coverage.


There are about 148,000 mobile home insurance policyholders in North Carolina.


State law specifies how requests for increased premiums are to be handled. And we’re at the very beginning of that process.


North Carolina’s process is different from other states. In other states, insurance companies file for rate changes individually. In our state, the Rate Bureau files rate requests on behalf of all the insurance companies writing property and casualty insurance in the state.


Now that the Rate Bureau has made its request, we have entered the public comment period. If you wish to comment on the proposal, you may do so in one of two ways:


  • You may email us at
  • You may write us by sending your letter to Kimberly Pearce, 1201 Mail Service Center, Raleigh, N.C. 27699-1201.


Please make sure you send your comment to us by April 30. All comments will be shared with the Rate Bureau.


The law gives me 50 days from the date the request was filed to make a decision on the request. That means I have to say “Yes” or “No” by May 28. If I reject the request, I’m required to set a hearing date on the proposal.


After the hearing concludes, I’ll have 45 days to issue a ruling. The Rate Bureau would then have to decide whether to accept the ruling or appeal to the N.C. Court of Appeals. Any decision by the Court of Appeals could be appealed to the N.C. Supreme Court.


Of course, it’s always possible that we could reach a settlement at any step along the way.


I have two major roles when it comes to proposed insurance rate increases:


  • To provide for a fair premium for North Carolina consumers.
  • To encourage a robust insurance market so North Carolinians can have choices in insurance products, and to make sure insurance companies are solvent so they can play their claims.


I take those roles seriously.

Mike Causey

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