Bill Summaries: H820 (2011-2012 Session)

  • Summary date: Apr 7 2011 - View summary

    Creates a 14-member Joint Legislative Study Commission on Coastal Property Insurance Rates (Commission) made up of the Commissioner of Insurance, representatives from the NC Rate Bureau and the NC Insurance Underwriting Association (NCIUA), three members appointed by the Governor, and four members each appointed by the House of Representatives and the Senate. Tasks the Commission with studying issues related to coastal property insurance rates including the feasibility of a statewide catastrophic risk pool, the efficiency and fairness of rates on policies ceded to the NCIUA, the accuracy of data and methodologies used by the NCIUA in estimating risks to coastal properties, the advisability of allowing coastal property owners to self-insure against risks from wind and hail when no third party has an insurable interest in the property, the accounting of the NCIUA’s accumulated surplus, and the fairness and effectiveness of the mitigation credits provided by the NCIUA under GS 58-45-45(e). Requires the Commission to submit an interim report to the 2012 Regular Session of the 2011 General Assembly prior to its reconvening, and to make a final report to the 2013 Regular Session of the General Assembly prior to its convening. Provides that the Commission shall terminate upon the filing of its final report or upon the convening of the 2013 General Assembly, whichever is earlier. Effective July 1, 2011.