Starting October 1, North Carolina drivers will face a 5% increase in their auto insurance rates. This change will apply to both new and renewed policies, the state Insurance Commissioner Mike Causey announced on Monday.
However, motorcyclists will see a positive change. The average liability insurance rates for motorcycles will decrease by 16.3% across the state.
Commissioner Causey explained the reasons behind the rate changes. He pointed to factors like distracted driving, speeding, and rising car repair costs as drivers of higher insurance rates. Despite these challenges, he said he was pleased that the increase was limited to 5%. He also noted that this agreement helps keep North Carolina’s auto insurance rates among the lowest in the country.
The Rate Bureau, a group that represents insurance companies but operates separately from the Department of Insurance, initially requested a rate increase in February. Because of this new settlement, a hearing originally set for September 22 has been canceled.
Related topics:
