My Property Insurance Was Cancelled

So you just received a cancellation or a nonrenewal from your insurance carrier – now what should you do? We recommend that you follow these steps: [Read more…]

Payment Options

New Business

  • Full payment by check or money order with a new application or 25% plus $5 to use the quarterly payment plan.

Payment Frequency Options

  • Annual. 100% of the annual premium with no service fee.
  • Quarterly. This plan requires 25% of the premium plus a $5 service fee for each payment. The Iowa FAIR Plan Association will direct bill a policyholder 30 days before each installment is due.

Mortgagee Billing Options

  • Mortgagees and/or additional insureds can be billed on renewals only.

Payment Types

  • Checks or money orders should be made payable to the “Iowa FAIR Plan Association”.
  • A current bill can be paid directly from a checking account, debit or credit card.  Click here for more information.
  • The Iowa FAIR Plan does not accept cash.


The Iowa FAIR Plan Association does not guarantee policy issue. Non-acceptable dwelling or commercial risks include any property that:

  • is vacant or unoccupied or;
  • has one or more open claim(s) or;
  • has unrepaired damages from any previous claim(s) or;
  • is noncompliant with local building codes and/or condemned.

Additionally, properties are ineligible for the Homeowners 8 Program if there are unsafe conditions, including, but not limited to: [Read more…]

Changes to Billing Options

The Iowa FAIR Plan Association is changing to direct bill and implementing a new quarterly payment plan.

Payment Options

  • We are discontinuing the current 4-pay plan and replacing it with a quarterly payment option for new business and renewals. This new plan requires 25% of the premium as a down payment plus a $5 service fee for each payment. The remainder will be due in 3, 6 and 9 months.
  • Policyholders will be direct billed from the Iowa FAIR Plan Association 30 days before each installment is due.

Commission Statements

  • Effective July 2015 all Iowa FAIR Plan producers will receive monthly commission statements and a commission check for transactions from the current month.

Midterm Cancellations

  • Refunds for mid-term cancellations or endorsements will be sent directly to the policyholder or mortgage company.
  • Any required return of commission will post to your commission statement.

We appreciate your patience and support as we implement these changes. We are certain that your policyholders will appreciate the new payment option.

If you have questions, comments or concerns about these changes please contact us at (515) 255-9531 or by e-mail at

Actual Cash Value (ACV)

The DP-1 and HO-8 policy forms do not define ACV and that can leave it to case lawSome courts have interpreted ACV to mean fair market value, i.e., the amount a willing buyer would pay a willing seller in an arm’s length transaction. Other courts have upheld the insurance industry’s traditional definition: the cost to replace with “like kind and quality” less depreciation. The courts have varied in their rulings as to whether or not depreciation includes obsolescence, e.g., loss of usefulness as a result of outmoded design or construction.

So how do you determine ACV? There is no single correct answer but a useful method is to use the average of:

  1. Current market value (the amount a willing buyer would pay a willing seller in an arm’s length transaction)
  2. Assessed value (from the County Assessor)
  3. Depreciated value (the current replacement cost less depreciation)

If there is a wide variance in the values using the highest value is the only way to be sure there is adequate coverage.

Producers and consumers must work together to in the important process of determining the correct amount of coverage needed.