news-record.com

Insurance Commissioner Jim Long today signed an agreement that will raise the insurance rates of homeowners across North Carolina.

The rate increase begins May 1 and includes a 3 percent maximum hike in Greensboro and a 2 percent increase in Guilford County. The N.C. Rate Bureau had originally requested increases of 13 percent for Greensboro and 11.2 percent for Guilford County

Today's settlement includes a statewide average increase of 4.05 percent.

The approved rates are the highest allowable that companies can charge; they can offer discounts that lower what homeowners pay.

Other approved rates include:

• 3 percent increase for Winston-Salem.
• 2 percent increase for Alamance, Davidson, Forsyth, Randolph and Yadkin counties.
• 1.2 percent decrease for Rockingham County.

"There has been a lot of speculation surrounding this homeowners rate filing, but I feel that we've reached a settlement that is fair to both consumers and insurance companies in North Carolina," Long said in a news release. "No one likes to see their insurance rates go up, but the industry made a strong case for allowing some increases this year. The silver lining is that most consumers won't see nearly the increases that were initially proposed."

The Raleigh-based N.C. Rate Bureau files premium rate requests on behalf of insurance companies that do business in the state. The requested rate was determined by evaluating the potential losses the companies face, combined with expenses and allowing a bit of profit.