Legal Question in Insurance Law in North Carolina

Re: Home Insurance Cancellation Policy

I will defer to attorneys with more experience on this issue, but my understanding is that in this area, "freedom of contract" rules, and the insurance company can refuse to renew your policy for submitting too many claims under the HO policy, regardless of the merit of the claim. In fact, I think it's quite common. I have often heard the advice that you should just have a high deductible and a lower premium, because you don't want to be submitting smaller claims anyway; use the HO (home owner's) insurance for the big claims, e.g. fires, hurricanes, or whatever. I don't know if the can technically "cancel" an existing policy; I tend to doubt they can, but I infer that your inquiry really addresses whether they can refuse to renew the policy.