The Texas Fair Access to Insurance Requirements (FAIR) Plan Association has requested permission from the Texas Department of Insurance to increase homeowners insurance rates by an average of 12 percent statewide, according to the Property Casualty Insurers Asso-ciation of America (PCI). The Plan was created last year to provide stripped down homeowners coverage for homes that had been rejected by other insurers. According to PCI the request for the rate increase highlights the severity of losses experienced by home insurers in the state. PCI said the Plan is requesting an increase of 22 percent in some instances. The FAIR Plan, launched in January 2003, wrote more than 100,000 policies last year representing around $90 million in premiums. Premiums are expected increase to about $110 million in 2004, based on requested rate increases.
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