Mold Damage Insurance Claims

Mold damage coverage is tricky

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Mold can have serious health consequences and is extremely detrimental to your property. It can occur after water damage or flood damage. But whether or not mold damage is covered often depends on the technical cause of the loss and whether or not you report the damage quickly to your insurance company.

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Mold Damage Insurance Claim

According to the Texas Department of Insurance, most homeowner and renters' policies cover sudden and accidental water damage. Examples would include a burst pipe, toilet overflow, or broken washer hose. If mold develops on a damaged item resulting from sudden and accidental damage, it would be covered. 

IMAGE: Water Property Damage Claim

However, if it was the result of a gradual leak or seepage over time that went unaddressed, your mold damage insurance claim will likely be denied. 

In some instances, FEMA may provide federal assistance for mold remediation, but it must be the result of a disaster. Remember that if the disaster that caused the damage was a flood, you must have a separate flood insurance policy to receive any insurance coverage for rising water or resulting damages. 

Mold damage can appear as spots of various colors and carry a musty odor. Mold grows wherever there is moisture and humidity—this means it often accompanies roof leaks, plumbing issues, and flooding. Mold can flourish on just about any surface, including ceiling tiles, wood, wallpaper, drywall, insulation, carpet, upholstery, and fabric.


Steps to mitigate mold damage

According to the United States Environmental Protection Agency (EPA), failure to remove contaminated materials and to reduce moisture and humidity can present serious long-term health risks. Standing water and wet materials are a breeding ground for microorganisms, such as viruses, bacteria, and mold. They can cause disease, trigger allergic reactions, and continue to damage materials long after the flood. 

In order to keep mold from growing after water damage or flood damage, you should complete the following mitigation steps immediately. 

  1. Keep humidity levels low. Consider adding a dehumidifier, if needed. 
  2. Remove soaked items (including carpet) and dry out your home with fans within 24-48 hours after a flood.
  3. Address the source of the water/moisture. 
  4. Clean surfaces with mold-killing products.
  5. Notify your insurance company of the damage immediately.

INFOGRAPHIC: Mold Damage

Call a Mold Remediation Specialist

Especially if mold has already appeared, bringing in professionals can help give your mold claim the best chance of receiving coverage. By removing all water-logged material and mold growth from the damaged area and fixing any damaged materials, it’s less likely that your mold claim will be denied if it stemmed from a covered loss. However, be aware: it is unlikely that the cost of the remediation service will be covered by your insurance. 

Using an established franchise remediation company with locations across the country, like Voda Cleaning & Restoration or Best Option Restoration, helps ensure that you’re doing business with a trustworthy contractor who can service your claim fast. 

Additional Mold Claim Support

If you’re facing a complicated mold damage insurance claim, consider hiring a Public Adjuster ASAP. They are licensed insurance professionals who can assist in determining the origin of the mold damage and review your policy to help you better understand your coverage. 

The best part? They charge on a contingency fee basis, so they only get paid if they secure additional settlement money for you. And they only receive their portion after you receive your settlement check. 

Mold Damage

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Mold damage insurance claims are an uphill battle.

Receiving coverage for your mold damage insurance claim requires threading the needle of definitions laid out in your policy document. Even if the original damage incident is a covered loss, resulting mold damage may not be covered if you did not take the required mitigation or remediation steps.

ICON: Mold Fungus Wet Rot

What’s the difference between mold mitigation and mold remediation?

The primary difference between mitigation and remediation is whether or not mold already exists. Mold mitigation entails taking proactive, preventative measures to avoid mold growth. Mold remediation addresses removing mold that has already grown and preventing its spread or future growth.

ICON: Public Adjuster Inspection

Documentation and taking quick action are key to mold claim coverage.

Documenting the source of excess water or moisture can be helpful when it comes to determining coverage for mold damage insurance claims. For example, proving that the water damage that caused the mold was a result of a burst pipe and not a slow leak could be the difference between mold coverage being in play or not.

ICON: Settlement Offer

Hiring a Public Adjuster can help you receive a higher settlement offer.

According to a government study, Public Adjusters have been proven to increase average claim settlements from 500-750% depending on the claim type and cause. Public Adjusters also work well with contractors, ensuring that the claim settlement is enough to cover the required work.

Public Adjusters are consumer advocates and claim solution champions.

Public Adjusters work for you, the policyholder, NOT your insurance company.

They get paid a percentage of your claim settlement, so they are incentivized to maximize your payout.