Sec. 1. 24-A MRSA §3043 is enacted to read:

§3043.__Fair access to insurance requirements plan

1.__Definitions.__As used in this section, unless the context otherwise indicates, the following terms have the following meanings.

A.__"FAIR Access to Insurance Requirements Plan" or "FAIR Plan" means the plan that the superintendent may establish pursuant to subsection 2.

B.__"FAIR Plan Association" or "association" means a nonprofit association established pursuant to this section to develop and administer a program to provide residential property insurance in designated underserved areas in this State.

C.__"Insurer" means any licensed insurer writing property and casualty insurance in this State, including:

(1)__A Lloyd's plan company; and

(2)__A reciprocal or interinsurance exchange.

D.__"Residential property insurance" means the coverage against loss to real or tangible personal property at a fixed location provided in a homeowner's policy, residential fire and allied lines policy or farm owner's policy.

E.__"Inspection bureau" means the organization or organizations designated by the FAIR Plan Association with the approval of the superintendent to make inspections to determine the condition of the properties for which residential property insurance is sought and to perform such other duties as may be authorized by the FAIR Plan Association or the superintendent.__The manner and scope of the inspection and evaluation report for residential property must be prescribed by the association pursuant to the plan of operation.

F.__"Net direct premiums" means gross direct written premiums less return premiums upon canceled contracts, irrespective of reinsurance assumed or ceded, written on residential property pursuant to this section.

G.__"Underserved area" means an area designated as underserved by the superintendent.