Farmers New Century Insurance Co. of Aurora, Ill., paid a $10,000 fine to the Maryland Insurance Administration for failing to properly modify its water damage coverage to meet a new law that took effect Oct. 1, 2008.

An MIA investigation found that between Oct. 1, 2008, and July 24, 2009, the insurer failed to offer in writing the water damage coverage to 121 new and 702 renewal homeowners’ insurance policies.

The MIA notified insurers of the change with a bulletin it issued Aug. 4, 2008, and in the last year has been enforcing the requirement with fines and administrative actions against a number of insurers who have violated the provisions, records show.

Farmers New Century is one of a number of insurers found to have violated the law.