Forty Years of Involuntary Property Insurance Markets in the U.S

The article traces the history and development of the FAIR and beach plans. It reports on operating philosophy as well as procedures and practices in place in the involuntary property markets today. It reports mixed success in effort to depopulate the plans. In addition, it provides some indication of the costs of the involuntary markets to the insurance industry. Finally, the article reports some initiatives undertaken by several of the involuntary market mechanisms.