Does Homeowners Insurance Cover Mold In The Basement
Typically, mold in your basement is not covered by homeowners insurance.
However, if mold is covered under a covered peril, you might be able to claim on your homeowners insurance!
For example, if flooding caused mold damage in your basement and you are covered for flood damage, you can claim mold.
You might also be able to claim for mold if a leak caused it due to improper fittings or poor workmanship.
Often these claims might end up in the small claims court if they are directed towards an individual, but it is always worth contacting your insurance provider as the first port of call.
Be sure to read your insurance policy thoroughly before taking it out to ensure that there is some coverage for mold.
Typically, you wont find it as most mold is caused by poor ventilation, with the onus being on the homeowner to sort out.
However, keep an eye out for covered peril and what that covers to see if you are protected against some mold damage.
You May Like: How To Control Mold In Basement
How Should You Prepare For A Claim
Before contacting the agent, collect evidence of the damage. For example, take photos of the damaged areas from all angles and gather relevant pictures from before the damage to support your claim. If youâre unfamiliar with the coverage, read the policy to make sure you have a good idea of how the conversation and claim will go.
The agent needs to assess the total cost of the damage before approving the claim. If you want to stop further growth, avoid removing anything, even if youâre tempted to clean the impacted areas. Instead, open windows and run a dehumidifier to control the spread.
If you need to eliminate mold in your home, turn to the trusted mold removal experts at Serclean of Savannah, GA. For over 25 years, these environmental professionals have been certified by the EPA to perform cleanup and restoration services throughout Richmond Hill and the Chatham County region. Aside from mold removal, they offer asbestos removal, water remediation, and smoke damage repair. For more information on their top-ranked services, visit the website or call 459-1981 today.
Filing A Claim For Water Damage
Follow these tips if you have a claim:
Don’t Miss: What Is The Best Mold Cleaner
Tips To Get Your Mold Damage Claim Approved
How To Treat Mold In A House
Steps to take when you spot a mold problem 1 Stay out of affected areas. 2 Turn off the HVAC system and fans. 3 Restrict access to the area with mold. If the mold is contained in one room or area with a door, close the door or cabinet to help with containment. 4 Contact your home insurance agent and/or a professional for mold remediation services.
Recommended Reading: How To Tell If Mold Is In The Walls
Prepare Yourself For The Task Ahead
Usually, home insurance companies do not enjoy paying claims related to mold damage without adequate proof. When you find out one, you should be prepared to advocate for yourself and prove that the damage resulted from a covered peril. One way to be sure you are ready is to request an investigation into the cause of mold damage. Then take pictures of the mold. It is important not to attempt to start repairs before calling your insurance company or filing a mold claim.
When Mold Is Usually Covered
In most cases, if mold results from a sudden and accidental covered peril, such as a pipe bursting or the dishwasher overflowing, the cost of the mold remediation should be covered. Thats because technically the pipe burst or faulty dishwasher is the reason for the claim not the mold itself.
Another example is a house fire. Lets say fortunately the firefighters arrived in time to keep most of your home intact. However, due to the water from the fire hoses your home has developed mold. That could be covered by home insurance.
Read Also: Can Mold Cause Hair Loss
Don’t Miss: How To Get Mold Off Bathroom Ceiling
What Is Black Mold
Mold is a type of fungus that can grow indoors and outdoors. Mold spores are found in the air and on surfaces. When mold spores land on a wet surface, they start to grow.Mold can be any color, including black. Black mold is a type of mold that can cause health problems. Some people are more sensitive to mold than others. People with allergies or asthma may have more severe reactions to black mold.Black mold grows in damp, dark places. It can grow on walls, ceilings, floors, and other surfaces. Black mold releases toxins into the air. These toxins can cause respiratory problems, headaches, and other health problems.
Does Homeowners Insurance Cover Mold Removal
Home insurance covers mold removal depending on the damage, policy, and insurance company.
“Frequency of coverage is difficult to answer. Coverage will vary by carrier and individual policy. Most carriers that do offer mold coverage have limits that typically start around $2,500 to $5,000 and can go up from there it depends on the individual policy and what the customer is willing to pay for from a premium standpoint,” says David Ragsdale, Production Manager at Servpro Industries, a cleaning and restoration company.
One situation in which a home insurance company will cover the insurance claim is during winter when an ice dam causes damage. Thats because it falls under the “covered peril and timing” part of your policy.
“If a leak occurs but goes unattended for an extended period and mold begins to grow, it may not be covered. However, if an ice dam forms in the winter, water leaks into the attic for a short period of time and mold begins to form before the damage becomes apparent, then it may be covered. Mold coverage is strictly determined by the investigating adjuster,” Ragsdale says.
Don’t Miss: Can You Get Rid Of Mold With Bleach
Possible Signs Of Mold
Odors: Inside your home, mold will normally have a musty, damp smell. If you detect a musty odor and suspect mold could be growing inside the walls of your home, consider contacting a mold remediation professional to conduct an inspection.
Health issues: Mold can cause an allergic reaction. Symptoms include a runny nose, itchy eyes, or nasal congestion and may be worse when you’re at home.
Visible mold: Mold growth can appear in any color and while only a small amount may be visible, it may indicate a larger, hidden issue. If you’re purchasing a home, these issues may be spotted during a home inspection and should be addressed with the seller.
When Does Homeowners Insurance Cover Black Mold Damages
When black mold caused by the weight of ice or snow. In a situation where water backs up under your shingles during a heavy winter due to the ice dam formed on the roof, water will leak into your attic, soaking it and causing black molds to appear.
This type of damage is more likely to be covered by your home insurance company because it is caused by ice damage, a peril covered by most insurance companies policy.
Also, if there was a break-in and in the process, a pipe gets destroyed, causing the drywall to be soaked with water and resulting in black mold, the homeowners insurance company would cover the black mold damages.
Since the cause of the black mold is one of the damages covered by the company.
Also, if your washing machine develops a leak in the hose that you blocked immediately, the water is very likely to cause black mold to form. Your home insurance company would cover this.
However, that would not be the case if the hose is an old one that should have been changed or fixed for some time, but was not.
Recommended Reading: Is Mold In Crawl Space Common
How Much Does It Cost To Remove Mold From A House
The average cost of mold removal is $2,347,1 but removing mold from an entire home can cost up to $30,000. This makes it even more crucial to spot mold early or prevent it altogether in order to avoid the high costs of remediation.
Getting rid of mold as soon as possible is extremely important in stopping its spread. Small mold remediation can cost an average of $4581 while larger scale remediation averages at about $6,333. If the infected area is more than 10 square feet, its best to hire a qualified mold inspector and get a quote. Such an inspector can charge $200 $6002 for a visit.
Mold removal costs depend on the area that it is being removed from:
- Crawl spaces only: $500 $4,000
- Ducts, crawl spaces, walls, attics: $2,000 $6,000
- Widespread structural damage: $10,000 $30,000+
The Environmental Protection Agency permits areas of mold that are less than 10 square feet to be cleaned by homeowners themselves with long gloves that go to the middle of your forearm, goggles and an N-95 respirator.
Will Insurance Pay The Complete Cost For Mold Removal
You just got off the phone with your insurance agent and youre happy to report that mold removal is part of your policy. Now youre ready to begin calling mold remediation experts and asking for quotes.
You know that your insurance might not cover the full cost of mold removal, but exactly how much reimbursement should you expect? That depends on your insurance provider and the type of homeowners insurance policy you selected, notesInvestopedia. Considering the expense of mold remediation though, insurance companies will limit the payout for mold removal.
Don’t Miss: How To Remove Mold From Under Carpet
What Does Mold Cause That Isnt Covered By Home Insurance
While you may think your home insurance policy will protect you from everything, unfortunately thats not always true. Mold caused by perils not covered in your dwelling/personal property policy will not be covered.
So lets say you decided not to purchase a separate flood insurance policy, and then your home is flooded from a rainstorm or other natural disaster. The resulting mold that grows from that flood damage wouldnt be covered. If you want to be covered in instances such as this, its recommended that you buy flood or hurricane insurance, or at least add a mold endorsement to your policy.
Insurers also dont cover any mold growth that comes from damage that occurred before the policy began, or before you purchased your home. So make sure to conduct a thorough inspection of your new home before buying . Finally, homeowner negligence is another excluded coverage when it comes to mold. If you noticed a leak but took a while to fix it, or simply didnt notice it at all, the resulting mold that developed would be on you to fix.
What To Do If You Have To File A Mold Claim
Mold can start to form in as little as one day, so acting fast is important.
Stop the leak as soon as possible. If you have a water leak or burst pipe in your home, shut off the main water valve immediately. Make sure you know the location of the main water shut-off valve in your home ahead of time, so you aren’t left scrambling in case of an emergency.
Document the damage. Take photos and videos of any mold and water damage you find. Make a list of everything that was damaged. Be as thorough as possible and do your best to avoid errors or exaggeration. False reporting, even if accidental, can work against your claim.
Clean up excess water, and dehumidify the area. Wipe up pools of water and use a dehumidifier or air conditioner to dry out the site. Place wet items outside in a secure area to dry. If you’re having trouble cleaning up the water yourself, consider hiring a professional. Your insurance agent may be able to help you find trusted water removal contractors in your area.
Make temporary repairs to prevent further damage. You don’t want to make significant fixes before filing your claim, but once you’ve documented the damage, go ahead and make temporary repairs to protect your home from further damage. For example, if your basement is flooded, you may want to remove wet carpeting. Keep receipts for all purchases related to cleanup and repairs.
Read Also: How To Remove Mold From Plywood In Attic
When Is Mold Covered By Renters Insurance
Mold growth is covered by renters insurance when it can be traced back to a covered peril.
A peril is an event that causes property damage
In insurance lingo, a peril is an event that damages your property or otherwise causes you to file an insurance claim. A peril can be either covered or excluded .
Insurance providers dont consider mold itself to be a peril because it doesnt grow without help. Mold grows due to excessive moisture, which in turn can usually be traced back to something else, like a leak, a sewage backup, or a flood.
If the molds root cause was a covered peril, the mold itself will also be covered.
What To Do If Your Claim Is Denied
The first thing you should do is consider whether the insurance company may have made a mistake in denying your claim. You always have the ability to file an appeal, either directly to the insurance carrier or the states department of banking and insurance, if you feel its a legitimate loss thats been denied, said Hickey.
If you dont have mold coverage or your appeal is denied youll want to hire a professional to remediate the mold before it gets worse. If you have difficulty financing mold removal that wasnt covered by insurance, consider a home equity loan or home equity line of credit . Some mold remediators also work with lenders to offer financing directly. And your family could qualify for state or federal loans or grants. For example, the Section 504 Home Repair program provides loans and grants to qualified low-income families.
Finally, you should make sure that mold damage doesnt become an issue in the future. That means making sure that you have the right coverage in place and taking proactive steps to prevent mold. It comes down to being aware of moisture, says Hoffman. Cleaning up spills right away, using exhaust fans, and maintaining your appliances and air conditioning system can all help you avoid common causes of mold.
Also Check: How To Clean Bathroom Ceiling Mildew
Also Check: How To Kill Mold On Plywood
When Does Home Insurance Cover Mold
Find Cheap Homeowners Insurance Quotes in Your Area
Homeowners insurance policies often include vague wording regarding mold coverage, and it can be difficult to determine whether any mold damage you encounter will be covered. Policies typically exclude coverage for mold damage, except when the mold is the result of a covered claim, such as water damage.
When Mold Damage Is Not Covered
Mold damage will not be covered in the following cases under standard homeowners insurance :
1. Mold damage that cannot be linked to any covered damage: If the mold growth source cannot be associated with any damage covered by insurance, an insurer will likely not cover for mold damage. Damage that is not sudden or accidental
If the damage is not accidental or sudden, your home insurance will not cover such mold damage. A preventative issue such as a foundation leak is not a covered peril.
2. Damage from Poor maintenance or negligence: Insurance companies expect that home and property owners maintain and take good care of their property and all appliances. This means that a mold growth that occurs from poor maintenance or bad handling of your roof, plumbing or HVAC, or other appliances are not covered.
3. Flood: Mold as a result of water damage caused by a flood is not covered by standard homeowners insurance policy. Usually, such damage requires a different flood insurance policy.
4. Pollutants
5. Long term wear and tear: Home insurance will not cover mold damage that results from wear and tear. A good example is mold growth caused by a 15-year-old leaking roof. Insurance companies expect you to be proactive about fixing such an issue before it leads to more damage like mold.
6. Sump pump overflow: It is vital to keep your sump pump in good shape as mold damage that results from a sump pump damage or overflow will not be covered by insurance.
7. War and earthquakes
Read Also: How To Remediate Black Mold Yourself
