Facility Association

What Facility Association does

Facility Association is an unincorporated non-profit association of insurers founded in 1973 and headquartered in Toronto, Canada. It operates as the residual market mechanism for automobile insurance in nine Canadian jurisdictions — Yukon, Nunavut, Northwest Territories, Alberta, Ontario, Nova Scotia, New Brunswick, Prince Edward Island, and Newfoundland and Labrador. Its function is to guarantee the availability of auto insurance to eligible drivers who cannot obtain coverage through the standard competitive market, thereby enhancing overall market stability. Every insurer licensed to write automobile liability insurance in these jurisdictions is automatically a member.

The association delivers its mandate through three core programs: the Facility Association Residual Market (FARM) for standard residual coverage, Risk Sharing Pools (RSPs) that allow member insurers to collectively manage insurance risks in specific provinces, and Uninsured Automobile Funds (UAFs) that compensate victims of uninsured or hit-and-run accidents. Supporting infrastructure includes online rater tools for premium calculation, a fleet rating tool, a formal multi-tiered appeals process, and member and broker/agent portals. Policy and operations are governed by the Plan of Operation, which serves as the binding legislative framework and was updated effective January 1, 2023 to align with IFRS 17.

Facility Association's business model is mutual and regulatory in nature. Membership is mandatory rather than commercial, premiums and rates are determined through the Plan of Operation and provincial regulations rather than market pricing, and the organization is governed by a Board of Directors with Canada-wide authority while a President and CEO manages day-to-day operations. FA publishes quarterly reports and audited financial statements for its members but does not publicly disclose its own revenue, consistent with its non-profit administrative structure.

Name

Facility Association

Legal name

Facility Association

Website

https://facilityassociation.com

Company type

Private

Founded year

1973

Operating status

Operating

Headcount range

11–50 employees

Short description

Facility Association is a Canadian non-profit association of insurers, founded in 1973, operating a statutorily mandated residual market mechanism that guarantees automobile insurance availability for eligible drivers across nine Canadian jurisdictions.

Ownership category

akta.pro rank

Product category

Residual Market Auto Insurance

NAICS

Other Insurance Funds (525190), Insurance and Employee Benefit Funds (5251)

SIC

Services-Membership Organizations (8600), Insurance Agents, Brokers & Service (6411)

akta.pro primary industry

Captive Insurance Advisory & Management (FSAEADAF)

Keywords

• Residual market auto insurance
• Automobile insurance pools
• Uninsured motorist funds
• Risk sharing pools
• Insurance market mechanism

Headquarters

HQ city

Toronto

HQ country

Canada

HQ region

North America

Markets served

GTM type

B2B

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Infrastructure, Others

Core offering

Facility Association is an unincorporated non-profit association of insurers that operates residual market mechanisms for automobile insurance in nine Canadian provinces and territories. Its core offerings are the Facility Association Residual Market (FARM) for eligible drivers who cannot obtain coverage in the standard market, Risk Sharing Pools (RSPs) that allow member insurers to share risk in specific provinces, and Uninsured Automobile Funds (UAF) that compensate victims of uninsured or hit-and-run accidents.

Product overview

Facility Association is a not-for-profit association of insurers that operates residual market mechanisms for automobile insurance across nine Canadian provinces and territories. The organization offers three core programs: the Facility Association Residual Market (FARM) for standard residual coverage, Risk Sharing Pools (RSP) for provincial risk management, and Uninsured Automobile Funds (UAF) for hit-and-run and uninsured motorist claims. Additional services include an appeals process for broker-requested decision reviews, online rater tools for premium calculations, and a fleet rating tool. These products and services are delivered through a member portal, with resources and bulletins provided to brokers, agents, and member insurers.

Differentiator

Problem solved

Functional benefit

Brands

• FARM: Facility Association Residual Market - the residual market segment for automobile insurance
• Risk Sharing Pool (RSP)

Products and services

• Facility Association Residual Market (FARM)

Segments1 record

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Scale indicators1 record

Recent moves5 records

Expansion highlights3 records

Direct peers

• New York Automobile Insurance Plan (NYAIP): State-level residual market mechanism for assigned-risk auto insurance in New York. Closely comparable to Facility Association in mandate, structure, and role as a market of last resort for auto coverage.
• California Automobile Assigned Risk Plan (CAARP): California's assigned-risk plan for drivers who cannot obtain auto insurance in the voluntary market. Operates under the same residual-market logic as Facility Association's FARM segment.
• Maryland Automobile Insurance Fund (MAIF): State-affiliated residual market auto insurer in Maryland, providing coverage to drivers refused by the voluntary market. Closely mirrors Facility Association's residual-market role with a more direct insurance-carrier posture.
• Joint Underwriting Association (JUA): US state-level JUAs pool member insurers to provide coverage in residual or hard-to-place lines. Structurally similar to Facility Association's Risk Sharing Pools and FARM member framework.

Regional players

• Insurance Corporation of British Columbia (ICBC): Public, mandatory basic auto insurer in British Columbia. Comparable as a province-wide mechanism guaranteeing auto insurance availability, but operates as a crown corporation rather than an industry association.
• Manitoba Public Insurance (MPI): Province-wide public auto insurer in Manitoba. Serves a similar mandate of universal auto insurance availability in a single Canadian jurisdiction, contrasting with FA's industry-association model.
• Saskatchewan Government Insurance (SGI): Crown corporation providing compulsory auto insurance in Saskatchewan. Comparable on mandate (universal auto coverage) but differs in being a single public insurer rather than an industry-wide residual pool.

Others

• Insurance Bureau of Canada (IBC): National industry association representing Canadian property and casualty insurers. Comparable as a Canadian insurance trade body, though IBC is an advocacy and lobbying organization rather than a residual-market administrator.
• Canadian Life and Health Insurance Association (CLHIA): Canadian trade association for life and health insurers. Comparable as a national insurance industry association, though focused on life/health rather than auto residual markets.
• Canadian Insurance Services Regulatory Organizations (CISRO): Council of Canadian insurance regulators that oversees auto insurance regulation across provinces. Relevant as the regulatory counterparty that defines the rules FA operates under.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat3 records

Key risks2 records

Customer concentration

• LinkedInlinkedin.com/company/facilityassociation1

Revenue estimate

Valuation estimate

Number of profiles

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Facility Association