Short answer: The Connecticut FAIR Plan offers basic property insurance to owners of insurable property who can't get coverage in the regular market. It pays actual cash value, not replacement cost, and covers only basic named perils, excluding theft, freezing and water damage. You apply through any Connecticut-licensed producer, and coverage starts once the full annual premium is received.
What the FAIR Plan is
The Connecticut FAIR Plan, formally the Connecticut Property Insurance Placement Facility, was set up under the federal Urban Property Protection and Reinsurance Act of 1968 and Title 38a of the Connecticut General Statutes. It provides property insurance to applicants who couldn't secure it in the normal market, as long as the property meets reasonable underwriting standards.
It's "not intended to be competitive with the voluntary insurance marketplace" and is "designed to be used as a last resort."
What it covers, and what it doesn't
According to the plan's coverage page:
- Valuation: actual cash value, not replacement cost.
- Perils: very basic named perils. Theft, freezing and water damage are among those not covered.
- Forms: the Dwelling Form DP 00 01 for homes and Commercial Form CP 00 99 for commercial risks.
Because claims are paid at actual cash value, depreciation is subtracted, so a claim payment can be less than the cost to rebuild or replace.
Eligible properties
| Type | Eligible |
|---|---|
| Habitational | 1 to 4 family owner- or tenant-occupied dwellings, condominiums and row houses |
| Commercial | 5+ family apartment buildings, mercantile and manufacturing risks |
| Personal liability | 1 to 3 family dwellings only, including certain estate-owned or under-renovation vacant dwellings |
Not eligible: vacant property that isn't in the name of an estate or under renovation, and farm property.
Maximum limits
| Coverage | Maximum |
|---|---|
| Coverage A, 1 to 4 family dwelling | $350,000 |
| Coverage C, contents | $75,000 |
| Coverages B and D | may apply 10% of the building amount; not additional insurance |
Commercial limits vary by construction class. With Governing Committee approval, limits can be increased, but never above $1,500,000 total on a single risk. The plan notes there's no automatic reinstatement clause.
Deductibles, including the coastal hurricane rule
Habitational deductibles range from $250 to $10,000. Dwellings within 2,600 feet of the Connecticut shoreline carry two deductibles: one for named perils and a separate hurricane deductible equal to 5% of Coverage A. Vacant buildings under renovation, under construction or held by an estate have a deductible of 5% of Coverage A, with a $1,000 minimum.
Liability options
Personal liability includes $1,000 of medical payments coverage. A lead exclusion attaches to all liability coverage except one-family owner-occupied dwellings. An animal liability exclusion endorsement can exclude an animal that has bitten someone and still lives on the premises.
How to apply
The consumer FAQ says you contact any licensed Connecticut producer, who helps decide whether you can get coverage elsewhere or qualify for the FAIR Plan. The producer page adds:
- The producer submits ACORD 66 CT, signed and dated by the applicant.
- The plan orders an inspection and has 20 days after a completed, signed application to send a quote or a declination.
- A quote is valid for 60 days.
- Coverage takes effect when the plan receives the total annual premium.
The FAIR Plan has no agents. Producers act for the applicant and can't bind coverage.
Renewals
The plan mails a renewal notice to the insured and the producer 60 to 90 days before expiration. It doesn't notify the mortgagee, and coverage lapses if the full annual premium isn't received by the expiration date.
The C-MAP program
The producer page also describes C-MAP, the Coastal Market Assistance Program, created by Connecticut homeowners insurers to help coastal homeowners who couldn't obtain insurance. Applicants must work through a producer.
Scenarios
A Bridgeport three-family owner turned down by private insurers. The building is eligible, liability is available, and a lead exclusion will apply.
A Milford shoreline cottage within 2,600 feet of the water. Expect a separate 5% hurricane deductible on Coverage A.
Bottom line
The Connecticut FAIR Plan is a backstop with real limits: ACV, basic perils and capped amounts. Compare programs on our FAIR Plans by state page, read what a FAIR Plan is and what the FAIR Plan does not cover.
Contact Alishahi Insurance or call (877) 711-4545. See insurance in Connecticut.
Frequently asked questions
What is the Connecticut FAIR Plan?
The Connecticut Property Insurance Placement Facility, a last-resort property insurer for owners who can't get coverage in the regular market.
Does the Connecticut FAIR Plan pay replacement cost?
No. It pays actual cash value and covers only basic named perils.
What is the maximum dwelling limit in the Connecticut FAIR Plan?
$350,000 for Coverage A on 1 to 4 family dwellings, with $75,000 for contents.
Is there a hurricane deductible in the Connecticut FAIR Plan?
Yes. Dwellings within 2,600 feet of the shoreline have a separate hurricane deductible of 5% of Coverage A.
How do I apply to the Connecticut FAIR Plan?
Through any Connecticut-licensed producer, who submits a signed application. Coverage starts when the full annual premium is received.
Alishahi Insurance · 439 N Canon Dr, Penthouse, Beverly Hills, CA 90210 · (877) 711-4545 · CA License #4348151. General information only. This isn't legal, tax or financial advice or a coverage determination. Coverage depends on policy language and underwriting, and rules vary by state.