Bill to allow car insurance rates to rise fails NC House
Legislation that would have resulted in North Carolina drivers paying more for their car insurance did not get past a House committee on Tuesday.
National Insurance companies such as State Farm and Geico were supporting the measure to try to get around North Carolina’s process for setting insurance rates.
HB 265 would have taken the legal teeth away from the Insurance Commissioner to challenge rate increases.
“It would have taken away a lot of the authority I have as Insurance Commissioner to preserve a balanced process,” said NC Insurance Commissioner Wayne Goodwin.
North Carolina drivers would have gone from having some of the cheapest insurance rates in the country, to paying substantially higher costs.
The bill would have allowed insurance companies to increase rates, on average, by 7 percent a year.
Insurers say the bill would have allowed them to offer more discounts to drivers.