California FAIR Plan Insurance
The FAIR Plan is a California based association comprised of all the insurance companies who do business in California. Its sole purpose is to provide insurance coverage as a last resort and is intended as a last resort type of insurance policy when you’ve exhausted efforts to obtain coverage in the existing marketplace.
If you live in a high-risk area, such as an area that is prone to fires, the FAIR plan may be your last and only option. While the coverage isn’t as comprehensive as a standard open-marketing insurance policy, you will at least get coverage for your home where none would be available otherwise.
Is the FAIR plan right for you?
If you’ve had a hard time finding insurance for your property in California, you can find coverage through the FAIR plan.
How does the FAIR plan work?
The FAIR plan works by pooling all property insurance companies in California and splitting the risk between them all. When you purchase a policy through the FAIR plan, you aren’t being insured with a single company, you’re being insured by the financial strength of many.
How much does a FAIR plan insurance policy cost?
Like a traditional home insurance policy, the cost of your FAIR plan policy depends on the value of your home and the physical address of the property. To get an accurate quote on your policy, contact our agency.
Is the FAIR Plan as good as a standard home insurance policy, such as an HO3?
No, the coverages provided by the California FAIR plan are basic and do not include the bells and whistles available with a traditional home insurance policy.
How much coverage does the California FAIR plan policy provide?
The maximum limit for all coverages is $3 million for any one location for personal dwellings (non-commercial). For commercial coverage options, reach out to an agent for the most up-to-date options available to you.
Purchasing a FAIR plan policy may cover you for basic insurance coverages, but you may seek out additional coverage such as Earthquake and Difference in Conditions insurance. Ask an agent about these options as well.
As an independent insurance agent, we provide insurance from many of the top-rated insurance companies in California. However, if you find that you are having a hard time obtaining insurance on your property, a FAIR plan policy may be right for you. Give our agency a call and we can walk you through all of your options so you can make an informed decision.
