California Fair Plan- Does it Cover Water Damage?

​The California FAIR Plan provides fire insurance to homeowners unable to secure coverage from traditional insurers due to high-risk factors like living in wildfire-prone areas. However, the FAIR Plan is limited in scope and does not cover water damage. Its primary focus is to protect against fire, smoke, and certain catastrophic events like windstorms or explosions. Water damage from sources such as burst pipes, leaks, or flooding is excluded from this policy.

For comprehensive protection, homeowners need a supplemental insurance plan. The most common option is a Difference in Conditions (DIC) policy. A DIC policy complements the FAIR Plan by covering perils it excludes, including water damage, theft, and liability. Another option is flood insurance through the National Flood Insurance Program (NFIP) or private insurers for areas prone to flooding.

If you live in California and rely on the FAIR Plan, securing additional coverage ensures your home is protected against all potential risks, including water damage. Consult with an insurance professional to tailor coverage that fits your unique needs.
​
Need help with water damage restoration? Contact Santa Clarita Water Damage Company for reliable services!