Severe weather contributing to home insurance hikes on the NC coast

WILMINGTON, NC (WWAY) — For yet another year, home insurance rates are on the rise 

Starting in June, North Carolina will see a baseline increase of 7% this year. Homes in coastal areas will see an increase of 10%, and homes on or near the beach will see an increase of 16%. 

National Insurance Inspection Services President Curtis Goldsboro said as severe weather like hurricanes become stronger and more unpredictable, insurance companies are becoming more reluctant to offer cheaper rates to homes by the coast.  

Compound that with the science of climate change, coastline erosion, and the rising cost of land and construction, hikes are expected to continue in the years to come. 

“I think the unfortunate reality is that moving forward and into the future, insurance is just going to be more expensive in these high risk areas,” Goldsboro noted. 

Many people in our area are feeling the squeeze, including Kevin Gargano. Gargano owns a home close to the beach in Ocean Isle. 

“I’ve had one there for about 25 years. Never had a claim,” he said. 

He said since he bought his property in 2001 his insurance rate has gone from  dollars a year to over 9 thousand. 

“It seems a little ridiculous for the people that have never had claims. I do realize there have been hurricanes here and it costs for that but there needs to be a way of doing it versus raising everybody’s that has never had any issues.” 

Goldboro says some insurance companies are exploring offering cheaper rates to policy holders that spend money on preventative measures like water leak sensors… So it’s worth asking an agent if that’s a possibility. 

“There are a growing number of insurance carriers that will take these mitigation measures into account and offer more aggressive and better pricing.”