A new bill filed by State Sen. Eddie D. Settle in the North Carolina Senate seeks to limit specific automobile physical damage coverages within credit property insurance policies, according to the North Carolina State Senate.
The bill, filed as SB 270 on March 12 during the 2025 regular session, was formally listed with the short title: ‘Credit Property Insurance Restrictions.-AB’
The following is our breakdown, based on the actual bill text, and may include interpretation to clarify its provisions.
In essence, this bill prohibits the inclusion of certain types of automobile physical damage insurance coverage in credit property insurance policies. Specifically, it bans coverage for repossession costs, skip, confiscation, and conversion, and any coverage requiring a deductible less than $250. It also prohibits coverage that exceeds the minimum insurance requirements stipulated in the bill. However, it allows for these banned coverages to be offered through a separate policy or endorsement, provided no charges are passed to the borrower. The bill is effective upon becoming law and applies to contracts issued, renewed, or amended from that date forward.
A related bill, HB 347, was also filed in the North Carolina House, introduced by Rep. Chris Humphrey on March 10, 2025.
Of the three sponsors of this bill, Todd Johnson proposed the most bills (28) during the 2025 regular session.
Bills in North Carolina follow a multi-step process before becoming law. A lawmaker starts by filing a bill, which is assigned to a committee for review. The bill must be read three times in each chamber. If one chamber changes the bill after the other passes it, both must agree on the final version. Once both chambers approve the same bill, it goes to the governor, who has 10 days (or 30 if the legislature is not in session) to sign, veto, or let it become law without a signature.
You can read more about the bills and other measures here.
Settle graduated from Wilkes Community College in 1979 with an AA.
Settle, a Republican, was elected to the North Carolina State Senate in 2023 to represent the state’s 36th Senate district, replacing previous state senator Paul Newton.
| Authors | Bill Number | Date Filed | Title |
|---|---|---|---|
| Eddie D. Settle, Danny Earl Britt, Jr., and Todd Johnson | SB 270 | 03/12/2025 | Credit Property Insurance Restrictions.-AB |
| Eddie D. Settle, Danny Earl Britt, Jr., and Todd Johnson | SB 268 | 03/12/2025 | Amend NC PEO Act.-AB |
| Eddie D. Settle, Danny Earl Britt, Jr., and Todd Johnson | SB 269 | 03/12/2025 | Insurance Guaranty Association Act Revisions.-AB |
| Eddie D. Settle, Danny Earl Britt, Jr., and Todd Johnson | SB 271 | 03/12/2025 | Permitted Trade Practices/Insurance Rebates.-AB |
| Eddie D. Settle | SB 264 | 03/11/2025 | Flags at Every School. |
| Eddie D. Settle, Tom McInnis, and Vickie Sawyer | SB 231 | 03/05/2025 | State Surplus Property/Third-Party Auctions. |
| Eddie D. Settle, David W. Craven, Jr., and Todd Johnson | SB 240 | 03/05/2025 | Establish NCSTARS Grant Program. |
| Eddie D. Settle, Timothy D. Moffitt, and W. Ted Alexander | SB 164 | 02/25/2025 | Theft of Temporary Housing During Emergency. |
| Eddie D. Settle, Carl Ford, and W. Ted Alexander | SB 123 | 02/21/2025 | Flags at Every School. |
| Eddie D. Settle, Michael A. Lazzara, and Vickie Sawyer | SB 113 | 02/17/2025 | Removal of Squatters from Private Property. |
| Eddie D. Settle, Michael A. Lazzara, and Timothy D. Moffitt | SB 71 | 02/11/2025 | Expedited Removal of Unauthorized Persons. |
| Eddie D. Settle, Bobby Hanig, and Timothy D. Moffitt | SB 58 | 02/05/2025 | AG/Restrict Challenge to Presidential EOs. |
| Eddie D. Settle, Danny Earl Britt, Jr., and Warren Daniel | SB 50 | 02/04/2025 | Freedom to Carry NC. |
| Eddie D. Settle, Danny Earl Britt, Jr., and Todd Johnson | SB 51 | 02/04/2025 | Maintain NAIC Accreditation of DOI.-AB |
| Eddie D. Settle | SB 41 | 02/03/2025 | 36th Senatorial District Local Act-1. |
