Frequently Asked Questions
Frequently Asked Questions about the Ohio Fair Plan
Q: What is the Ohio FAIR Plan (OFP)?
A: OFP is a "property insurance pool" that was created by statute and is
supported by all property insurance companies licensed to do business in the
state of Ohio. Insurance coverage is available for eligible property
under basic coverage forms at "standard" rates if coverage is unavailable in
the normal insurance market.
Q: Can I get the same coverage through OFP as through a "regular" insurance
company?
A: OFP can provide basic insurance coverage for tenant and
owner-occupied dwellings and personal property; farm buildings, machinery,
tools, livestock, harvested crops, and personal property; apartment buildings
and personal property; commercial buildings and contents. Personal article
floaters for specific coverage on jewelry, coins, and other such valuables are
not available through OFP. Personal liability coverage is available (for a
maximum of $100,000) only for owner-occupied dwellings or residential tenants
insuring their personal property. Theft coverage is provided under our
Homeowners and Farm Programs, but that coverage is also available separately
under our Residential and Commercial Crime Programs.
Q: Can I choose OFP coverage instead of a "regular" insurance company's coverage?
A: No. If coverage is available to you in the "regular" insurance
market, you are ineligible for OFP coverage.
Q: Does OFP consider loss or credit history?
A: Credit history is given no underwriting consideration. Loss history
will be considered in determining the type of coverage that will be provided.
For example, if you have had multiple theft losses, OFP will provide coverage
for fire, lightning, etc., but no theft coverage will be offered unless you
have taken steps to avoid future losses.
Q: Are there limits on the amount of coverage available?
A: Yes. Maximum coverage amounts are the actual cash value (current
replacement cost of the property minus an allowance for depreciation, wear and
obsolescence) or replacement cost of the property, dependent upon the
coverage/contract available for an individual property. For other than crime
coverage, the maximum coverage available is $1.5 million for building and
contents coverages combined. Minimum coverages also apply to homeowners and
crime policies.
Q: Is the cost for insurance coverage more expensive under the FAIR Plan?
A: The answer to this depends on the individual property. In most
situations the cost of insurance may be somewhat higher, while in others the
rates may be comparable to the voluntary market.
Q: My property needs repairs. I want to insure it while it's in rehabilitation.
Will the FAIR Plan insure the property?
A: The FAIR Plan has a Rehabilitation Program for such situations.
Commercial risks under rehabilitation can be submitted with the Commercial
Rehabilitation Application, and one- to four-family dwellings under rehabilitation
can be submitted with the Dwelling Fire Rehabilitation Application. Copies of
contracts, repair items, anticipated completion dates, and expenditures must
also be forwarded. Coverage under the Rehabilitation Program is available for
one year only.
Q: How do I know if FAIR Plan coverage is best for me, and how do I apply for
coverage?
A: Check with at least two insurance companies (or their insurance
agents) regarding your particular situation and potential placement in the
voluntary market. These insurance professionals should be able to respond to
specific questions regarding your situation.
If you can't obtain coverage in the voluntary market, any licensed property
insurance agent can assist you in applying for coverage through the Ohio FAIR
Plan, or you can contact the FAIR Plan directly to obtain coverage.
Q: Do FAIR Plan policies have deductibles?
A: Yes, just like insurance coverage in the voluntary market,
deductibles apply to FAIR Plan policies.
Q: Do exclusions apply to FAIR Plan policies?
A: Yes, but they vary depending on the type of policy and the amount of
insurance coverage provided in the policy. You need to review your policy or
check with your insurance agent or the FAIR Plan regarding specific exclusions
and limitations of your policy.
Q: Will I be assigned an insurance agent or company representative to contact
with questions about my policy? Is OFP premium higher if I have an agent?
A: No agent will be "assigned" to you. OFP has no agents, so any
agent you select would be your agent. You are encouraged to select an
insurance agent. As an advisor, the agent can answer your questions, address
your concerns, and be your representative when corresponding with OFP. The FAIR
Plan is the insurance company, and you can correspond with them directly if
that is your preference. The premium is not affected by whether you have an
agent or not.
Q: If I'm renting property, is there a way to obtain insurance coverage for my
belongings. Can I get liability coverage?
A: As long as the property meets OFP's underwriting criteria, OFP can
issue a dwelling fire policy for your belongings and attach a liability
endorsement for your personal protection. Note that $100,000 is the maximum
personal liability coverage available through OFP.
Q: How do I file a claim with the FAIR Plan?
A: If you have selected an insurance agent, you should call your agent. If
you have not chosen an agent, you should notify the FAIR Plan of any claims.
Q: Once I get coverage through the FAIR Plan, should I continue to check for
coverage in the regular insurance market?
A: Yes. It is required that consumers "shop" for insurance each year. If
coverage is available in the standard market, you will not qualify for FAIR
Plan coverage.
Q: Where can I obtain further information about the FAIR Plan?
A: This web site provides a general overview of the Ohio FAIR Plan. For
specifics regarding availability, cost and coverage contact your insurance
agent or you may contact the Ohio FAIR Plan directly at:
2500 Corporate Exchange Dr., Suite 250
Columbus, OH 43231
614-839-6446 or 800-282-1772
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