We are required by state law to inspect 100% of new business. Often the inspections reveal deficiencies in the condition of the property that require additional premium until the deficiency is corrected. The deficiency charge rate is $1.00 per $1,000 of coverage for both the dwelling and personal property. The following five areas are those subject to the deficiency charge:
- Roof – significant patching, missing shingles, and multiple layers
- Paint/siding/gutters – missing components and/or in poor repair
- Premises – overall lack of maintenance
- Supplemental heating device – wood-burning stoves, pellet burning stoves, corn burning stoves, etc.
If any one item is considered to be severe, an entire deficiency charge will apply. If there is more than one severe item, one, two or three deficiency charges may apply. Deficiency changes can be removed when proof of remediation has been submitted to Iowa FAIR Plan Association.