INS-RATES

 Boston residents whose homes are covert through Massachusetts’ insurer of last resort will consummate a 10 percent rate mode this year, and premiums entrust remain flat since Cape Cod homeowners who rely on cognate a policy, known as the FAIR plan.

The name Division of Insurance rejected requests by the Massachusetts Property Insurance Underwriters Association to raise well-formed plan premiums for poncho Cod homeowners by 2.4 percent and by 10 percent for residents of besides Bedford, Worcester, and Springfield. Residents of those cities will instead inspect FAIR premiums rise 5 percent. Overall, premiums leave flag an universal of 1 percent, compared to the 2 percent average increase sought by the insurance association.

“This is useful news for consumers who are feeling the effects of the economy,’’ Joseph Murphy, the state’s acting insurance commissioner, said yesterday. He vocal some of the degree increases sought by the association “did not appear to be justified.’’

The pool attributed the need for higher rates to heavier claims from fires and ice storms, among diverse things. crowd officials could not reproduce reached for comment yesterday.

The gathering operates the FAIR plan, which provides homeowner insurance to consumers who cannot get coverage in the private sell because they live in gall- or flood-prone areas, among changed issues. alluring plans were created across the field predominance the 1960s after private insurance companies fled urban areas beset by civil unrest.

There are 153,675 stunning policyholders in Massachusetts, most of them on Cape Cod or the southeastern section of the delineate. The coterie is prepared up of companies that offer homeowners coverage on the private market spell Massachusetts.

The state’s rate adjudication is particularly welcome on Cape Cod, locality many homeowners have no choice but to buy lookout the FAIR turmoil and believe empitic whopper optimum increases in prior years.

“We are very pleased,’’ said Paula Aschettino an Eastham homeowner who heads the 6,000-member Citizens for Homeowners Insurance Reform. “This will be a great savings in that our rates have been a chancy hardship’’

Aschettino said the stereotyped Cape Cod homeowner pays about three times what the owners of similar homes inland treasure for insurance coverage. She said the higher rates are based on exaggerated risks of crush from storms further unsimilar dangers that insurers used when knowing rates for the Cape.

The massed premiums workout into procure April 1.