mold insurance claims

Why Mold Insurance Claims Get Denied

RRBHLAWZENHomeowners' Insurance, Insurance Litigation, Property Insurance

Words are important, especially in the legal industry. Homeowners insurance policies are often vague in their wording when it comes to mold coverage. Insurance providers sometimes deny mold insurance claims because of how a policy lays out what it covers—for the homeowners who receive a denial, that can mean they are out thousands of dollars.

In a typical mold coverage case, the fate of the claim often hinges on one thing—whether the mold is a result of covered damage. Here’s what you need to know about mold insurance claims.

When Does Homeowners Insurance Cover Mold?

As mentioned above, in most homeowners insurance policies, mold removal is only covered when it is the result of a covered peril. Therefore, if a pipe bursts (or you experience other covered water damage) and the moisture causes mold to grow, you could file a claim for mold removal and the repair of anything permanently damaged by the mold, as well as any damage caused by the water.

The primary stipulation to remember is this: if your homeowners insurance policy covers sudden, accidental water damage, you should be covered if any mold results from the water damage.

Here are a few common examples of covered perils:

  • Your water heater leaks, and the resulting flood causes mold to grow in the walls.
  • Your washing machine malfunctions, and the moisture infiltrates your floors, causing hard to remove mold.
  • Your house catches on fire and the fire department has to put it out with water, causing water damage and a mold infestation.

It is important to note that home insurance policies often differ in many ways. You should review your policy with an attorney if you think that you were denied for a claim that should have been covered.

When Are Mold Insurance Claims Not Covered by Homeowners Insurance?

Mold damage is not always covered by insurance. When mold results from neglect or poor maintenance, your claim will most likely be denied.

If your plumbing, for example, springs a leak and you wait too long to fix it, the insurance company may deny any mold insurance claims you try to file because you did not act fast enough.

Another scenario in which mold damage is not covered by homeowners insurance is if you are the victim of a flood. Flooding is excluded from homeowners insurance and requires a separate type of insurance coverage. Any mold damage that occurs after a flood will most likely not be covered by homeowners insurance.

Mold Insurance Claims Can Be Complicated. Talk to the Insurance Experts.

You should not have to worry about whether your mold claim will be denied. If you are planning to file a claim for mold with your insurance company, get in touch with us first. We will ensure that you do everything by the book and support you if your claim is denied. Call RRBH Law at 305-800-HOME or write to us to see if you have a case.