The Oregon FAIR Plan Association (OFPA) is a non-profit organization established by the Oregon Legislature in 1971. Operating under Oregon's Essential Property Insurance statutes, the OFPA serves as the insurance market of last resort for property owners in Oregon. This means that individuals and entities unable to find adequate property insurance through standard markets can turn to the OFPA for assistance. While initiated by the state, the OFPA is wholly funded by its member companies—every property insurance provider licensed in Oregon must be a member of the association. The financial outcomes of the OFPA, whether gains or losses, are shared among these member companies, ensuring a collaborative approach to managing risks in the property insurance domain.
The primary mission of the OFPA is to make essential property insurance available to responsible applicants who have been unable to secure coverage through traditional insurance markets. This includes coverage for residential dwellings, commercial properties, and farms. To facilitate underwriting and claims processes, the OFPA operates similarly to a small insurance company, issuing policies directly, managing underwriting, and handling claims through independent local adjusters.
In 2002, the OFPA transitioned to a Syndicate operations model, where coverage is issued under the OFPA title, streamlining the process for both agents and policyholders. While the policies provided are basic and do not encompass all potential coverage needs, they serve as a critical resource in stabilizing the insurance marketplace in Oregon.
The OFPA also encourages potential policyholders to exhaust options from other normal insurance markets before seeking assistance from their association, thereby promoting a responsible approach towards insurance procurement. Through its dedicated mission, the OFPA remains a cornerstone in ensuring that property insurance remains accessible for all Oregonians in need.
