FAIR Plans: insurance of last resort, explained

More than 30 states run one. If your insurance was canceled and a FAIR Plan is what you were offered instead, here's what you're actually buying.

By the TMRW Team · Published September 2, 2026

The short answer

  • A FAIR Plan (Fair Access to Insurance Requirements) is a state-organized pool that sells basic property insurance to homeowners the regular market won't cover.
  • It is usually not government-funded: the insurance companies in that state share the risk, and the coverage is narrower and pricier than a normal policy.
  • FAIR Plans are designed as temporary bridges. The way back to the regular market is fixing whatever got you turned down — in wildfire states, that means documented fire-risk reduction.

How a FAIR Plan works

When enough insurance companies refuse a category of risk — wildfire-exposed homes in the West, hurricane-exposed coasts in the South and East — states organize a shared pool so those homes can still get basic coverage. Every company selling property insurance in the state is required to take part, sharing the pool's profits and losses.

The trade-offs are consistent everywhere: fewer kinds of damage covered (often fire or wind only), lower coverage caps, higher prices — and if the pool runs short of money, the fix is billing the state's insurance companies for more. There is no government guarantee behind it. Most FAIR Plan households also carry a second, gap-filling policy to restore the normal protections, at extra cost.

California: the biggest FAIR Plan, under the most strain

California's is the FAIR Plan most people are asking about. Its rolls have swelled with wildfire cancellations, the homes it covers are worth over $300 billion against a couple hundred million in cash on hand — and after the January 2025 fires, regulators had to order the state's insurance companies to chip in $1 billion so it could keep paying claims. We keep a full, sourced guide: the California FAIR Plan, explained, plus deep dives on what it costs, what it covers, and your alternatives.

State-by-state guides

StatePlanGuide
TexasTexas FAIR Plan AssociationWhat it covers and how to apply
OhioOhio FAIR Plan Underwriting AssociationWhat it covers and how to apply
OregonOregon FAIR Plan AssociationWhat it covers and how to apply
WashingtonWashington FAIR Plan (Washington FAIR Plan Association)What it covers and how to apply
MassachusettsMassachusetts Property Insurance Underwriting Association (Massachusetts FAIR Plan)What it covers and how to apply
KansasKansas All-Industry Placement Facility (Kansas FAIR Plan)What it covers and how to apply
New MexicoNew Mexico Property Insurance Program (NM FAIR Plan)What it covers and how to apply
MinnesotaMinnesota FAIR Plan (Fair Access to Insurance Requirements)What it covers and how to apply
KentuckyKentucky FAIR Plan Reinsurance AssociationWhat it covers and how to apply
PennsylvaniaInsurance Placement Facility of Pennsylvania (the Pennsylvania FAIR Plan)What it covers and how to apply

Plus the deep California guide. Other states' FAIR and windstorm plans follow the same structure; guides are added as they're verified.

Common questions

TMRW is an independent wildfire-mitigation company. We are not affiliated with, endorsed by, or connected to the California FAIR Plan Association or any state FAIR Plan, wind pool, or insurance program.

Sources

  1. About the FAIR Plan (structure, no public funding) California FAIR Plan Association, accessed 2026-09-02
  2. California FAIR Plan overview for consumers California Department of Insurance, accessed 2026-09-02
  3. Order 2025-1: the $1B industry cash infusion after the January 2025 fires California Department of Insurance, accessed 2026-09-02

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