Maryland FAIR Plan: what it covers, what it costs, who qualifies

Does Maryland have a FAIR Plan?

Yes. Maryland's FAIR Plan is the Maryland Joint Insurance Association (MDJIA), official site www.mdjia.org ↗. It exists as the insurer of last resort for property owners who can't get coverage in the standard ("admitted") market.

What does it cover?

Homeowners HO 00 02/04/06 (Broad Form): broad named perils. Homeowners HO 00 08 (Modified Coverage Form): limited named perils. Dwelling Fire DP 00 01: fire or lightning, extended coverage (windstorm/hail, explosion, riot, aircraft, vehicles, smoke), vandalism and malicious mischief. Commercial: fire coverage only (no liability). All policies: does NOT cover flood. Vandalism and malicious mischief excluded for vacant/unoccupied properties. For Ocean City properties or those within 200 feet of water, a windstorm/hail deductible is mandatory. Liability available on homeowners forms (up to $100,000 standard, up to $300,000 optional); medical payments $1,000.

How much will it cover?

The current cap on a single dwelling policy is Homeowners and Dwelling Fire: Coverage A (Dwelling) maximum $455,000; Coverage C (Personal Property/Contents) maximum $228,000. Commercial: $1,500,000 per building (fire-resistive, masonry, or frame). (Maryland Joint Insurance Association, verified 2026-05-11).

Who is eligible?

Property owners, individuals, or businesses throughout Maryland who have been unable to obtain essential property insurance through the competitive property/casualty insurance marketplace. Three coverage categories: owner-occupied homeowners (single-family, condos, townhomes), dwelling properties (rental/lease), and commercial properties (fire coverage only). Property must meet MDJIA underwriting guidelines. Seasonal dwellings, farm property (unless inactive), mobile homes, vacant/unoccupied properties, and properties under construction/major renovation are ineligible. No specific numeric declination count stated in MDJIA public materials.

How do you apply?

Contact a local licensed Maryland insurance producer/agent, or contact MDJIA directly at (410) 539-6808 or 1-800-492-5670. Producer portal at mdjia.org/portal-login. When private-market insurers cancel or non-renew a Maryland property policy, they are legally required to include information about the JIA in the notice (Md. Insurance Article §27-603).

Need a broker who writes the MD FAIR Plan? →

How much does it cost?

Coverage 'may be more restrictive than that provided by other insurance companies, and may also be more expensive because of the increased risk being assumed' (MDJIA's own language). Maryland average annual home insurance premium reached approximately $3,303 in 2024, up ~25% from 2021 ($2,655), driven by rising construction costs, climate-related losses, and reinsurance cost increases. JIA coverage is similarly priced as a last-resort mechanism.

What is changing right now?

FY2024 habitational policy count approximately 678 / total exposure approximately $326.6 million per III reporting (very small plan relative to state size). No specific rate filings, major structural changes, or carrier pullbacks for Maryland were found in public sources during this research. Maryland's broader home insurance market saw approximately 25% premium increase 2021–2024. Private-market insurers issuing cancellation/non-renewal notices in Maryland are required by Md. Insurance Article §27-602 to provide written notice at least 45 days before the proposed cancellation/non-renewal, and by §27-603 to include JIA contact information in the notice.

Do you also need a wrap (DIC) policy?

typical

What to do this week if you just got a non-renewal notice

1. Read the notice fully. Note the cancellation date — that's your runway.
2. Call your current agent and ask why. Some non-renewals are reversible (a minor issue, a missed inspection); most aren't.
3. Get quotes from at least three other admitted carriers before going to the FAIR Plan. If you're rural / WUI / coastal you may strike out; that's normal.
4. If admitted carriers decline, contact a broker who writes the Maryland Joint Insurance Association (MDJIA). They can submit on your behalf the same week.
5. Don't let coverage lapse. A lapse triggers force-placed insurance from your lender — much more expensive and worse coverage.

For the full playbook see I just got a non-renewal notice →