NC H308

Caps ceding expense allowance at 20% of total North Carolina motor vehicle insurance premiums for insurers that cede more than 75% of their direct written premiums to the Reinsurance Facility.

Implements a phased reduction in maximum cession limits to the Facility, decreasing from 95% to 75% of direct written motor vehicle insurance premiums over a five-year period.

Requires Commissioner approval for any cessions exceeding the established annual limits.

Appropriates $5,000 to the North Carolina Rate Bureau for the 2021-2022 fiscal year to notify affected insurers.

Phased effective dates: Section 1(b) effective January 1, 2022; 1(c) effective January 1, 2023; 1(d) effective January 1, 2024; 1(e) effective January 1, 2025; 1(a) and 1(f) effective January 1, 2026.