The House voted 89-27 to hesitantly agree to Beach Plan improvements that include putting all insured North Carolina property owners
The Insurance plan to secure an under funded coastal insurance program, appeared to have entered into the state House. It took place after lawmakers concerned about balancing the interests of consumers and insurers, denied to double the industry’s maximum liability from a catastrophic hurricane to $2 billion – reported in reflector.com
The House voted 89-27 to hesitantly agree to Beach Plan improvements. It includes putting all insured North Carolina property owners on the hook, if a disaster pushes claims beyond a $1 billion industry cap on assessments to pay off claims.
The Beach Plan has property insurance liabilities valued at nearly $74 billion, but its resources top out at about $2.4 billion. That includes the $1 billion cap on extra assessments.
If the Beach Plan’s claims surpassed $2.4 billion after a massive hurricane or tough storm season, proposed legislation would allow the state insurance commissioner to impose an extra charge on every property insurance policy in the state.