Plain version: the California FAIR Plan (Fair Access to Insurance Requirements) is the market of last resort. When a property owner cannot buy basic property insurance in the normal market, the FAIR Plan fills the gap.

§10090 lists the law's purposes: - Assure stability in the California property insurance market. - Assure the availability of basic property insurance. - Encourage maximum use of the normal insurance market. - Provide for equitable distribution of the responsibility for property that cannot be insured in the normal market. The FAIR Plan is not meant to replace admitted insurers. The law pushes buyers toward admitted insurers and licensed surplus line brokers first.

Who runs it: the California FAIR Plan Association. Under §10095(a), insurers licensed and engaged in writing basic property insurance on a direct basis must be members as a condition of their authority to write that business. Members share in the Plan's writings, expenses, profits and losses in proportion to their premiums. The FAIR Plan states that it is not a state agency and receives no taxpayer funding.

Moving policies back out: §10095(i) requires a clearinghouse program that aims to reduce the association's concentration and number of policies and to encourage maximum use of the normal market. It gives admitted insurers the chance to offer homeowners policies to FAIR Plan policyholders. Nonadmitted insurers may be included only if admitted insurers have the first option.