Insurance bills being mulled by the North Carolina General Assembly are “all about corporate greed,” says Insurance Commissioner Wayne Goodwin.
Bills in the state Senate and House look to wipe out Goodwin’s ability to set a cap on automobile-insurance rates, as well as his authority to determine if rates are excessive, he says.
If adopted, the legislation will result in higher auto-insurance rates, he adds during an online video statement. Any vow from the industry that the rate reform would allow them to charge lower rates is “an empty promise” because “they can do that now.”
Goodwin says the bills are being pushed by out-of-state insurers looking to change a rate system that “is working just fine.” Affordability and availability are not problems in North Carolina, which has the lowest auto rates in the South and the eighth lowest in the nation, he says.
There have been no approved auto-rate hikes in 15 years, he adds.
The insurance industry typically calls these types of measures “rate modernization.”
“If making rates skyrocket is modern, you can call me old-fashioned,” Goodwin says in the video.
Goodwin says settlements like the one he signed with auto insurers in 2009 would also disappear if the bills are passed. Last year some auto-insurance policyholders received refund checks from their insurers after Goodwin found that companies overcharged North Carolina motorists more than $50 million.