What is the primary purpose of the FAIR plan?

The primary purpose of the FAIR (Fair Access to Insurance Requirements) plan is to provide insurance coverage to properties that are in areas where traditional insurance companies are unwilling to underwrite policies. This is particularly important for properties located in less desirable or high-risk areas, such as those prone to natural disasters, vandalism, or other risks that make them difficult to insure through standard channels.

By facilitating access to insurance for these properties, the FAIR plan aims to ensure that owners are not left without coverage simply due to the overall risk associated with their location. It helps stabilize the insurance market by providing options for property owners who might otherwise struggle to find insurance. Additionally, it promotes equity in the insurance market, allowing for better risk management across various communities.

The focus of the FAIR plan is not on luxury properties, high-value homes, or regulating insurance prices, as these aspects do not align with its foundational goal of improving access to insurance for properties in underserved markets.