North Carolina law
Insurance Disputes Laws in North Carolina.
North Carolina insurance law includes the Unfair Claim Settlement Practices Act (N.C.G.S. § 58-63-15). North Carolina does NOT recognize common-law bad faith as a separate tort — insurer conduct is addressed through breach of contract and UDTPA (§ 75-1.1) claims. The UDTPA provides automatic treble damages for willful violations, plus attorney fees. North Carolina Department of Insurance regulates insurers and handles complaints. North Carolina auto insurance is tort-based with mandatory minimum liability coverage.
Last verified: 2026-04-17
State law
Key North Carolina Statutes
Enumerates 15 prohibited unfair claim settlement practices. Enforcement through the Department of Insurance.
The Unfair and Deceptive Trade Practices Act is the primary private remedy for insurer misconduct in North Carolina. Violation of the UCSPA may constitute per se UDTPA violation. Treble damages for willful violations plus attorney fees.
North Carolina does not recognize a separate tort of insurance bad faith. Insurer misconduct is addressed through breach of contract (damages limited to policy benefits) and UDTPA claims.
Tort-based. Minimum limits 30/60/25 ($30K per person, $60K per accident bodily injury, $25K property damage).
State law
Official Sources
Not Legal Advice
This page summarizes publicly available statutes and rules for informational purposes only. It does not constitute legal advice, and no attorney-client relationship is created by viewing this content. Laws change — always verify with the primary source or consult a licensed attorney in North Carolina.
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