Indianapolis — The exponential growth of North Carolina’s state-created insurance pool for coastal coverage could wipe out many smaller private insurers in the state, according to the National Association of Mutual Insurance Companies (NAMIC). NAMIC is urging policymakers to improve and strengthen the pool before the next major storm hits.
A study committee set up by the legislature is charged with developing recommendations for the North Carolina Insurance Underwriting Association. Commonly known as the Beach Plan, the association was established in 1969 to provide property coverage for coastal homeowners unable to obtain insurance from the private market; but experts say the plan’s growth, combined with actuarially inadequate rates, has left it unable to pay for a major storm, forcing private insurers to pick up the tab. NAMIC urged the panel to take immediate action.
Register or login for access to this item and much more
All Digital Insurance content is archived after seven days.
Community members receive:
- All recent and archived articles
- Conference offers and updates
- A full menu of enewsletter options
- Web seminars, white papers, ebooks
Already have an account? Log In
Don't have an account? Register for Free Unlimited Access