Top Reasons Homeowners Insurance Won’t Pay for Your Mold

1/30/2022 (Permalink)

Black mold damage in a home in Los Gatos, CA.

Top Reasons Why Your Mold Isn't Covered by Your Homeowners Insurance

You’ve kept your home in tip top condition but mold has still reared its ugly head. Fungus happens to even the most meticulous of homeowners, but fortunately you have mold coverage, right? This is an assumption that many Los Gatos, CA, homeowners have learned is incorrect only after being saddled with major bills. The truth is, with little exception, most homeowner’s insurance doesn’t cover fungus growth. Here are a couple of the top reasons why.

How costly is mold removal?

Getting rid of mold is no small task, and that’s one reason insurance companies are reticent to cover it. Repairs can run up to $6,000 and then some. That estimate includes things like:

• Inspections
  
• Air quality tests
  
• Remediation
  
• Restoration
  
  

If you’re expecting your homeowner’s insurance to pay for all of this, think again. Here’s why.

It’s Not a “Covered” Peril

On average, a homeowner’s policy pays for fungus growth damage caused by a “covered peril.” Such perils are events that are already covered in the policy, and typically include fire, lightning and vandalism – unlikely causes of mold!

You Caused the Damage

If mold resulted from something you did, your policy won’t cover it. Leaving around wet towels and other materials, resulting in a mold infestation is one example. Another is if a preventable water leak or other maintenance failures led mold to flourish.

It’s Flood-Related

A natural disaster like a flood might seem like a covered peril, and such events can indeed be covered, just not by a standard policy. Flood damage is typically covered by a flood policy separate and apart from typical homeowner’s insurance. That damage can include mold.

Knowing what your homeowner’s insurance will and won’t cover when it comes to fungus growth is key to being prepared. Speak to an insurance expert about mold insurance and mold remediation to learn how to get the protection you deserve.