Local Business · Ukiah, CA
California FAIR Plan Commission Cuts May Reduce Local Broker Services
The California FAIR Plan recently announced a reduction in broker commissions from 8 percent to 3 percent for new policies and 2 percent for renewals. This change, which cuts broker pay by roughly two-thirds, may lead local insurance agencies to stop handling FAIR Plan policies due to increased service costs. The article notes that the FAIR Plan is the insurer of last resort for homeowners unable to obtain standard coverage in California. Residents are advised to check with their brokers at renewal to see if alternative coverage options exist.