Judge Halts Coastal Insurance Increases in NC
On Friday, March 20th Judge Pittman filed the Order granting the Motion to Stay the November 21, 2008 Decision implementing increases in surcharges and deductibles under the Beach/FAIR Plans. The is great news! Even though the Order only applies to the increases in deductibles and surcharges, I firmly believe the Judge will rule the same way on the December 18, 2008 Decision (to raise overall rates) when this Motion goes before him.
The Order has some very strong language that I believe will support legislation now pending before the General Assembly. The Judge states in his Order "(i)t does not appear from the available record that the Commissioner of Insurance acted according to law." The Judge continues "(i)t is, therefore, hereby ordered that the November 21 approvals by the Commissioner of Insurance of the rate increase requests of the North Carolina Insurance Underwriting Association and the North Carolina Joint Underwriting Association are hereby stayed and the Department of Insurance is hereby enjoined from enforcing said decisions." WOW!!
Kathleen Riely J. D.
Governmental Affairs Director
Wilmington Regional Association of REALTORS®