Fire··1 min read
Pushed onto the California FAIR Plan? Here's what it covers — and the gaps a DIC fills
The CA FAIR Plan only covers basic perils — fire, smoke, lightning, explosion. It does NOT include liability, water damage, theft, or full loss of use. That's why most policies need a DIC wrap.
If you've recently been non-renewed or are struggling to find homeowners insurance in California, you may be getting pushed into the California FAIR Plan Association (CFP) — a state-mandated "insurance of last resort" designed for homes that traditional carriers decline, especially in high fire risk areas.
Due to wildfire exposure, rising reinsurance costs, stricter regulations, and insurance companies pulling back across CA, more homeowners are being forced into California FAIR Plan insurance.
The gap most homeowners don't realize
The FAIR Plan only covers basic perils:
- Fire
- Smoke
- Lightning
- Explosion
It does not include:
- Liability
- Water damage
- Theft
- Full loss of use
That leaves major coverage gaps. Which is why most policies require a DIC (Difference in Conditions) policy to create proper protection.
How we help
At Baxter Insurance Agency, we specialize in high fire homeowners insurance California, helping clients:
- Understand FAIR Plan coverage
- Structure FAIR Plan + DIC policies
- Explore alternative options when available
- Create a path to eventually move off the FAIR Plan
If you've received a non-renewal or need help navigating CFP insurance, call or text (925) 270-1991 for expert guidance.