What is the primary purpose of the FAIR Plan?

The primary purpose of the FAIR Plan is to offer coverage to individuals who have been rejected by traditional insurance companies. This plan is designed to provide basic property insurance for those who are unable to obtain coverage due to factors such as high risk, poor claims history, or living in areas that are difficult to insure. The FAIR Plan serves as a safety net, ensuring that people have access to essential insurance protection to safeguard their homes and properties, even when standard insurance options are not available to them.

In contrast, other options do not align with the core mission of the FAIR Plan. For instance, while flood insurance and auto insurance are critical components of the broader insurance landscape, they fall under different regulatory frameworks and specific insurance products rather than the FAIR Plan's mandate. Additionally, the FAIR Plan primarily focuses on residential properties rather than commercial properties, which may have various other insurance options available.