Alabama and NC Schedule Hearings for Proposed Capital Requirements and Dwelling Rate Hike
Regulators in two Southeastern states are gearing up for significant hearings early next year. One hearing will address a proposed steep increase in dwelling insurance rates in North Carolina, while the other will focus on new capital requirements for insurers in Alabama.
The Alabama Department of Insurance has scheduled a public hearing for February 5 on Insurance Regulation No. 55 (new Rule 482-1-055, Section 18.2). This proposed rule aims to adopt the National Association of Insurance Commissioners’ model insurance company regulation, specifically concerning insurance group capital calculation provisions and cost sharing.
If no changes are made, this regulation is set to take effect on February 15. Interested parties can view the NAIC model regulation online. Additionally, a copy of the proposed regulation from Alabama can be requested via email at Brenda.Camp@insurance.alabama.gov.
The hearing will commence at 10 a.m. at the Alabama Department of Insurance offices located in Montgomery. Individuals wishing to testify are encouraged to submit their testimony in advance to the DOI Legal Division at P.O. Box 303351, Montgomery, AL 36130.
In North Carolina, Insurance Commissioner Mike Causey has announced a hearing regarding a proposed 68% average rate increase for dwelling insurance. Under North Carolina’s unique system, the North Carolina Rate Bureau, which represents insurance carriers, recommends rate increases. Typically, the commissioner’s office negotiates lower increases, often before a hearing takes place.
The Rate Bureau last recommended a dwelling insurance rate increase in 2023, which initially exceeded 50%. After negotiations, the final increase settled at 8%, taking effect in November 2024.
The rate hearing in North Carolina is scheduled for 10 a.m. on May 4, at the DOI offices in Raleigh.
Related: Time to Change NC’s Unique (and Antiquated) Rate Bureau System?
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Regulators in two Southeastern states are gearing up for significant hearings early next year. One hearing will address a proposed steep increase in dwelling insurance rates in North Carolina, while the other will focus on new capital requirements for insurers in Alabama.
The Alabama Department of Insurance has scheduled a public hearing for February 5 on Insurance Regulation No. 55 (new Rule 482-1-055, Section 18.2). This proposed rule aims to adopt the National Association of Insurance Commissioners’ model insurance company regulation, specifically concerning insurance group capital calculation provisions and cost sharing.
If no changes are made, this regulation is set to take effect on February 15. Interested parties can view the NAIC model regulation online. Additionally, a copy of the proposed regulation from Alabama can be requested via email at Brenda.Camp@insurance.alabama.gov.
The hearing will commence at 10 a.m. at the Alabama Department of Insurance offices located in Montgomery. Individuals wishing to testify are encouraged to submit their testimony in advance to the DOI Legal Division at P.O. Box 303351, Montgomery, AL 36130.
In North Carolina, Insurance Commissioner Mike Causey has announced a hearing regarding a proposed 68% average rate increase for dwelling insurance. Under North Carolina’s unique system, the North Carolina Rate Bureau, which represents insurance carriers, recommends rate increases. Typically, the commissioner’s office negotiates lower increases, often before a hearing takes place.
The Rate Bureau last recommended a dwelling insurance rate increase in 2023, which initially exceeded 50%. After negotiations, the final increase settled at 8%, taking effect in November 2024.
The rate hearing in North Carolina is scheduled for 10 a.m. on May 4, at the DOI offices in Raleigh.
Related: Time to Change NC’s Unique (and Antiquated) Rate Bureau System?
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