For the past several years, many California homeowners had little choice but to accept coverage through the California FAIR Plan combined with a Difference in Conditions (DIC) policy.
However, the insurance market is beginning to change.
As part of California Insurance Commissioner Ricardo Lara’s Sustainable Insurance Strategy, several major insurance companies have committed to expanding homeowners insurance availability throughout California, including in many wildfire-distressed areas. Mercury, CSAA, Travelers, AAA, Farmers, USAA, and other carriers have announced plans to grow their presence in the state and help reduce reliance on the FAIR Plan.
The goal of the Sustainable Insurance Strategy is simple:
Create more insurance options for California homeowners and reduce dependence on the California FAIR Plan. The Department of Insurance reports that multiple insurance groups are now expanding coverage under the program, compared to virtually no market expansion during the height of the insurance crisis.
What Does This Mean for FAIR Plan Policyholders?
If you currently have:
- California FAIR Plan
- FAIR Plan + DIC Coverage
- A recent non-renewal from a standard carrier
- A home in a moderate wildfire-risk area
You may now qualify for coverage that was unavailable just a year ago.
Many homeowners automatically renew their FAIR Plan policy every year without checking the market. That could be a costly mistake.
With the California FAIR Plan recently approving significant rate increases and many DIC premiums also rising, now is an excellent time to have your policy reviewed.
We Can Shop Your FAIR Plan Policy
At Starwest Insurance Services, we can review your current FAIR Plan and DIC coverage and determine whether an alternative may now be available.
Depending on your home’s:
- Location
- Roof age
- Claims history
- Construction type
- Wildfire exposure
- Replacement cost
We may be able to replace your:
California FAIR Plan + DIC Policy
with:
A standard homeowners policy or specialty market alternative that provides broader coverage and potentially better value.
Not every home will qualify, but many homeowners are surprised to learn that options have returned to the marketplace as carriers begin expanding under the Sustainable Insurance Strategy.
Before You Renew Your FAIR Plan, Get a Second Opinion
If your FAIR Plan policy is renewing soon, let us review your current coverage before you automatically renew.
You may qualify for a FAIR Plan alternative that offers:
✅ Broader coverage
✅ Higher liability protection
✅ Simplified claims handling
✅ One policy instead of a FAIR Plan + DIC combination
✅ Competitive pricing
Contact Starwest Insurance Services
James C.Q. Banh
Owner & Broker | CA License #0B83846
Starwest Insurance Services
📞 Office: (714) 893-7271
📱 Text: (714) 867-7799
Already have a California FAIR Plan policy? Send us your declarations page and let us see if we can help you find a FAIR Plan alternative.