Which of the following is NOT an eligibility requirement for obtaining property coverage in the FAIR Plan?

The FAIR Plan (Fair Access to Insurance Requirements Plan) provides property insurance options for individuals who are unable to obtain coverage through the standard market due to the risks associated with their property. An important aspect of the FAIR Plan is its eligibility requirements, which ensure that properties are insurable and meet certain criteria.

The correct answer indicates that one must not necessarily occupy the property as an owner to qualify for coverage under the FAIR Plan. This means that properties may still be eligible for coverage even if they are not owner-occupied, which can include rental properties or those occupied by tenants.

In contrast, the other options reflect essential eligibility criteria for the FAIR Plan. For instance, properties must be located in designated areas considered eligible for this type of coverage, they should have no outstanding tax liens, and they must be able to demonstrate insurability, meaning they meet minimum standards that can include structural integrity and safety compliance.

This balance of requirements ensures that the FAIR Plan can provide coverage for owners who might otherwise face challenges in securing insurance, particularly for properties that present higher risks. The inclusion of properties that may not be owner-occupied expands access to insurance for various types of properties needing coverage.