What type of market stability does the Facility Association aim to enhance?

The Facility Association is designed specifically to provide stability in the automobile insurance market. It serves as a safety net for high-risk drivers who may not easily obtain coverage through traditional means. The organization operates as a shared market for insurers, allowing them to pool their resources and manage the risks associated with insuring those deemed less insurable due to their driving records or other factors. By doing so, the Facility Association helps maintain a balance in the automobile insurance marketplace, promoting equitable access to coverage and preventing major disruptions that could arise from an uneven distribution of risk among insurers.

In contrast, the other types of insurance markets, such as homeowners, commercial liability, and life insurance, do not fall under the remit of the Facility Association. These markets have distinct regulatory frameworks and risk management strategies that cater to their specific characteristics and consumer needs. Thus, the correct answer focuses on the automobile insurance market, emphasizing the role of the Facility Association in supporting and stabilizing this sector.