Policies may be issued for one to four-family dwellings, including single-family mobile homes, used exclusively for private residential purposes and located in Iowa. Applicants must have received a notice of rejection, non-renewal or cancellation from an insurer within the past six months.
Properties are ineligible if one or more of the following conditions are present:
- is vacant and/or unoccupied and/or in foreclosure.
- has physical conditions which have been declared unsafe by a local jurisdiction.
- has grossly inadequate and/or defective heating, wiring, or plumbing and/or is in exceptionally poor physical condition and/or has exceptionally poor housekeeping.
- has unsettled/unpaid claims from previous losses or has unresolved damages from previous losses.
- has a wood-burning stove and the stove is “homemade” or, the property is a mobile home that has a wood-burning stove or, the property has a garage/outbuilding with a wood-burning stove.
- is a rental property with more than 65 percent vacancy and/or the property lacks a current rental certificate where required.
- has more than two losses, each loss amounting to at least $500 or one percent of the insurance in force, whichever is greater, in the immediately preceding 12-month period, or more than three such losses in the immediately preceding 24-month period.
Coverage Limits and Forms
- The maximum limit on dwelling and contents combined is $250,000. The policy limit cannot exceed the actual cash value/market value of the dwelling and/or contents.
- The Plan uses the following forms (This list is subject to change as new forms are filed and approved.):
- Dwelling Property 1 Basic Form DP 00 01 07 88
- Special Provisions—Iowa DP 01 14-A 02 06
- Limited Fungi, Wet or Dry Rot, or Bacteria Coverage DP 04 22 04 02
- Water Exclusion Endorsement DP 16 09 01 09
- Cap on Losses from Certified Acts of Terrorism; Disclosure Pursuant to Terrorism Risk Insurance Act DP 05 38 06 08
- Additional Insured DP 04 41 07 88
- Restrictive Amendment 28 05 11
- Demolition Reserve Endorsement
The Plan uses the following criteria to determine the protection class.
- Protection Class 1-8: Inside city limits of protected city/town.
- Protection Class 9: Outside city limits of protected city/town but with hydrant within 1000 feet.
- Protection Class 10: Outside city limits of protected city/town with no hydrant within 1000 feet.
Property inspectors will provide information about the location of the property with regard to city limits, distance from hydrants, and any other pertinent information and the Plan will make the final determination as what protection class will be used.
The basic deductible for all perils is $250 with options of $500, and $1000.
An additional charge may be added to the premium if deficiencies are discovered during an inspection of the property. Deficiency charges may be an additional $1.00 – $3.00 per $1000 of dwelling and contents coverage depending on the inspection report. Such charges are usually the result of:
- Poor housekeeping, e.g., debris on the property or throughout the dwelling.
- Excessive deferred maintenance, e.g., peeling paint, curled shingles, overgrown trees, and shrubs.
- Poor physical condition of the property, e.g., leaking roofs, sagging support, missing siding.
Producers do not have the authority to issue binders. The Plan does not issue binders.
Requests For Coverage
- To request coverage a properly completed, legible, and signed application must be submitted.
- Applications submitted must be on forms designated by the Plan. All questions must be answered and the applicant must sign the form.
- The correct premium must also be submitted with the application.
- If must receive an application before 12:00 noon on the policy effective date to make coverage that same day. If we receive an application after 120:00 noon the policy effective date will be effective the following day at noon.
- Quotes can be requested by noting that an application is being submitted for the purpose of obtaining a quote, in which case no premium should be enclosed with an application.