The FAIR Plan is an association that operates like an insurance company. The letters F-A-I-R stand for Fair Access to Insurance Requirements. Illinois FAIR Plan provides homeowners and property insurance to individuals unable to buy coverage from traditional companies. The program, in operation since 1968, is funded by property insurance companies licensed to operate in Illinois.

There are four basic requirements to qualify for the FAIR Plan.

1. The property must be in Illinois.
2. The applicant must be unsuccessful obtaining coverage from traditional insurers.
3. The property must meet basic fire, loss prevention and safety standards.
4. The property cannot be vacant or unoccupied.

The local homeowners insurance agent submits the application to the FAIR Plan. The FAIR Plan will price and prepare the policy. Rates will be higher than traditional insurers, but FAIR Plan policies offer similar coverages. A FAIR Plan representative will inspect the property to confirm it meets eligibility requirements.

The FAIR Plan should be your last resort for homeowners insurance. Take steps to improve your claim record. Request the highest deductible you can afford. Maintain and improve your property to reduce the likelihood f future loss. In time you will be able to return to the traditional homeowners insurance market, and qualify for better rates.