What is one of the functions of the FAIR Plan?

One of the functions of the FAIR Plan (Fair Access to Insurance Requirements Plan) is indeed to provide high-risk applicants with basic insurance coverage. This plan was established to ensure that individuals and businesses that have difficulty obtaining standard insurance due to their higher risk profile can still access essential insurance protections.

The FAIR Plan is designed to make coverage available for properties located in areas that are often considered too risky by traditional insurance carriers. By providing basic coverage options, it helps protect homeowners and businesses that might otherwise be left uninsured, facilitating greater stability within communities.

The other options focus on aspects that are not core functions of the FAIR Plan. For instance, eliminating all exclusions on property coverage is not feasible, as that would undermine the insurance model which is based on risk assessment. Providing lower premiums for urban properties may not align with the purpose of the FAIR Plan, as higher risk often correlates with higher premiums. Finally, streamlining claims processing is more about operational efficiency in the insurance industry rather than a specific function of the FAIR Plan.