Mold damage can cause serious property destruction and health concerns, but insurance companies often limit coverage or deny claims outright. Navigating a mold damage claim requires understanding your policy, proper documentation, and strong advocacy to secure a fair settlement.
At FairVantage, we help homeowners and business owners navigate the complex claims process to ensure they receive the compensation they deserve.
What Does Insurance Cover?
Mold damage is only covered under specific circumstances, typically when caused by a sudden and accidental event, such as:
✅ Burst Pipes & Plumbing Leaks – If a pipe suddenly bursts and leads to mold growth, your policy may cover the resulting damage.
✅ Storm-Related Water Intrusion – If mold develops after a covered event like a storm, hurricane, or roof leak, you may be eligible for compensation.
✅ HVAC System Failures – Sudden malfunctions that cause excessive moisture and mold growth may be covered.
✅ Fire Suppression Water Damage – Mold growth resulting from water used to extinguish a fire may be included in your claim.
✅ Covered Water Damage Claims – If your policy pays for water damage, mold remediation may be included, but limits often apply.
Common Exclusions & Limitations
🚫 Gradual Water Damage – Mold from long-term leaks, humidity, or condensation is typically excluded.
🚫 Poor Maintenance – Insurance companies may deny claims if they believe neglect or lack of upkeep contributed to the mold growth.
🚫 Flood-Related Mold – Standard homeowners’ policies do not cover flood damage or mold resulting from flooding. A separate flood insurance policy is required.
🚫 Mold Coverage Caps – Many policies have strict limits on mold remediation costs, often capping coverage at $5K to 10K or less unless you purchased additional mold coverage.
Steps to Filing a Mold Damage Claim
1️⃣ Identify & Address the Source – If possible, stop the water source and document the cause of the mold growth.
2️⃣ Document the Damage – Take clear photos and videos of affected areas and any personal property impacted by mold.
3️⃣ Prevent Further Spread – If safe, isolate mold-affected areas to prevent further contamination.
4️⃣ Contact Your Insurance Company – Report the mold issue and provide evidence of its cause and extent.
5️⃣ Request a Professional Inspection – Mold growth can be extensive and hidden. A FairVantage expert ensures all affected areas are properly documented.
6️⃣ Obtain Professional Remediation Estimates – Get estimates from licensed mold remediation specialists to compare against the insurance company’s assessment.
7️⃣ Review the Settlement Offer – If your insurer limits coverage or denies the claim, you have the right to dispute it.
How FairVantage Can Help
At FairVantage, we:
✔️ Review your policy to determine if mold remediation should be covered.
✔️ Ensure thorough documentation to support your claim and prevent denials.
✔️ Negotiate with insurance adjusters to secure maximum compensation.
✔️ Assist in disputes, appraisals, and mediation if your claim is denied or underpaid.
