Many commercial insurance companies are wary of the risk of providing insurance for homeowners in 18 coastal counties, so a state-run program known as the Beach Plan has become the primary insurer. But if a major hurricane should hit the North Carolina coast, the Beach Plan wouldn't have the reserves to cover the losses.
The N.C. Rate Bureau, which recommends insurance rates to the state insurance commissioner, has proposed a solution that would bolster the Beach Plan's finances: a statewide increase in homeowner premiums. The increases would range from 32 percent to 50 percent for properties in beach areas; from 42 percent to 70 percent in the "coastal areas" just inland from the beaches; and 1 percent to 22 percent in the rest of the state.
Some inland residents question why they should share the tab. Tell us what you think.
Absolutely Not!
It's a misconception that anyone should subsidize a life style for someone else, or that anyone should subsidize a business model that cannot sustain itself.
If one wants to live on the coast, or in a flood plain, or some other normally high risk environment, then so much the better, but far better that they shoulder their own costs, rather than push their selfish natures off on others.
It certainly will not attract trourism of and by itself. In fact, all it does is subsidize the owner. If a current owner can't afford to carry his or her weight in terms of cost of doing business, there will be someone else who will be pleased to buy the property and take on that responsibility. However, those more concious should not pay the bill either for those that would rip the average homeowner off--nor to pay some out of state tourists full fare.
While I give the NC Rate Bureau extremely high Marks for previous years of contribution, this is one irrationally exhuberant effort to play Robin Hood except this time around, in the depths of Depression (notice I didn't use the Recession word) it is patently stupid to rob from the poor and give to the rich. Patently stupid, if not morally insensitive.