Frequently Asked Questions
Who is eligible to become a member of the Indiana FAIR Plan?
As stated in the By-laws, “Any insurance company or other organization licensed to write and engaged in writing property insurance (including the property insurance components of multi-peril policies) on a direct basis in the State of Indiana may become a member of the Association by applying to the Association for membership.”
How do you become a member of the FAIR Plan?
A signed letter from an officer of the member insurer requesting membership (for each NAIC#) in the FAIR Plan is required. The FAIR Plan Accounting Department will notify the member of the effective date of their membership.
What are Member Participation Reports and how often are they distributed?
Members Participation reports show each member's share of habitational and commercial participation percentages based upon pro-rata premiums.
Member Participation Reports will be posted to each member's account on the website and will not be mailed.
How does the FAIR Plan determine each member company's premium data?
Each member completes a one page Insurer's Report with the premiums for each of the indicated lines online and also email or fax their State Page 14 to our office. These are to be completed by September 1st of each year.
How do I change the contact information for my company?
You may contact us by email to change your contact information. Note that we have only one contact for each member which means that contact will receive all notifications and mailings from the FAIR Plan.
What is the timing of FAIR Plan mailings?
- Member Participation Reports, K-1s are posted to the website in 2nd or 3rd quater of each year.
- Audited financial statements are available on our website.
- Member proxies for the Annual Meeting are sent 30 days prior to the Annual Meeting.
- Assessment invoices are mailed after the Governing Committee authorizes and assessment.
How are member insurers notified of an assessment?
Assessment invoices are mailed to each member. A notification will also be put in the member announcements section of the website. Copies of the invoice will be posted to each member's account on the website.
How often are members assessed and when are payments due?
The FAIR Plan carefully monitors cash balances, reserves and expenses. Assessments are authorized by the Governing Committee on an as needed basis. The last assessment was authorized in February 2007. Members must submit their assessment payment within 30 days.
How do you terminate membership on the FAIR Plan?
Per the Plan of Operations (Section IV(2)), membership terminates when the member insurer is no longer licensed to write basic property insurance in Indiana or upon written notice (a signed letter from an officer of the company) to the FAIR Plan requesting termination of membership. The member is still responsible for all liabilities, including assessments, losses, obligations or contracts incurred or issued under the Plan during the time they were a member.