NORTH CAROLINA, USA — Thousands of North Carolina residents are losing insurance coverage for their homes after Nationwide non-renewed numerous coastal property policies due to hurricane concerns, the North Carolina Department of Insurance (DOI) confirmed to 13News Now.
The majority of the 10,525 policies affected were non-renewed based on a hurricane hazard assessment tool, according to the DOI. The other 4,744 policies non-renewed are being referred to the North Carolina Insurance Underwriting Association's (NCIUA) Beach Plan, which ensures property owners in coastal areas can still secure coverage.
Of the personal lines being non-renewed, there is more than 2,000 written in the northeastern part of the state, including 838 in Dare County.
Pitt County, which is located in the Inner Banks region and includes Greenville, saw the largest number of non-renewals with 1,324 policies dropped.
In a statement, Nationwide said, in part, "a measured view was taken to assess and rebalance its portfolio based on risk.”
"Consideration was given to climate severity, weather-related losses, and the reinsurance market. Consequently, underwriting renewal guidelines were refined, and specific actions were necessary for a small percentage of the company’s business," the company added.
The state DOI said insurers writing coverage east of Interstate 95 automatically cede the wind coverage to the NCIUA.
Nationwide is required to notify policyholders of their non-renewal at least 30 days before the renewal effective date.
The North Carolina DOI said insurance agents were notified of the non-renewals "early on." The department, however, said if a policyholder has not already been contacted by their agent, they should reach out to secure coverage elsewhere.
The 10,525 personal lines policies being dropped account for 1.7% of Nationwide's total personal lines policies nationwide.