{"data":{"id":"us-nc/n.c.-gen.-stat.-58-40-20","jurisdiction":"us-nc","citation":"N.C. Gen. Stat. § 58-40-20","heading":"Rate standards.","body":"(a)\tIn order to serve the public interest, rates shall not be excessive, inadequate, or unfairly discriminatory.\n(b), (c) Repealed by Session Laws 1985 (Reg. Sess., 1986), c. 1027, s. 10.\n(d)\tNo rate is inadequate unless the rate is unreasonably low for the insurance provided and the use or continued use of the rate by the insurer has had or will have the effect of:\n(1)\tEndangering the solvency of the insurer; or\n(2)\tDestroying competition; or\n(3)\tCreating a monopoly; or\n(4)\tViolating actuarial principles, practices, or soundness.\n(e)\tA rate is not unfairly discriminatory in relation to another in the same class if it reflects equitably the differences in expected losses and expenses. Rates are not unfairly discriminatory because different premiums result for policyholders with like loss exposures but different expense factors, or like expense factors but different loss exposures, as long as the rates reflect the differences with reasonable accuracy. Rates are not unfairly discriminatory if they are averaged broadly among persons insured under a group, franchise, or blanket policy. (1977, c. 828, s. 2; 1985 (Reg. Sess., 1986), c. 1027, ss. 9.1, 10, 11.)","path":["Chapter 58. Insurance.","Article 40. Regulation of Insurance Rates."],"source_url":"https://www.ncleg.gov/EnactedLegislation/Statutes/HTML/BySection/Chapter_58/GS_58-40-20.html","current_through":"S.L. 2026-30","vintage":"","retrieved_at":"2026-08-27T18:06:53Z","sha256":"7061f380ebc36269508af6786536f363c881a245eda31b2c4be345416df6cf83","source_id":"us-nc","stale":false,"prev":"us-nc/n.c.-gen.-stat.-58-40-15","next":"us-nc/n.c.-gen.-stat.-58-40-25"},"notice":"GroundRules: Original legal text. Not legal advice."}