Mildew Covered on Homeowners?

Q

During the past summer, our homeowners insured's roof was completely blown off during a windstorm. As a result of the storm, water got into the rafters and caused mildew. The water also got into the insulation and, because it was not thoroughly dried when repairs were made to the dry wall, more mildew developed. The insurer has settled the claim for the roof and original drywall repair, but is denying the claim for the new repairs necessary to remove the mildew based on the faulty workmanship and mold exclusions.

Is this correct? It was the insurer's insistence on prompt repairs being made that seems to have caused this loss, since during the hot months of summer mildew readily grows.

Massachusetts Subscriber

A

The exclusion for loss caused by “mold” is intended to exclude a loss that predictably occurs over a period of time, and is therefore uninsurable. To give an example: mildew can develop in a non-vented laundry room over a long period. The exclusion is intended to prevent the homeowner from expecting his insurance carrier to replace the wall coverings. This is one of those things that happens in a damp environment. Part of home ownership is the maintenance required; the homeowner must incur these expenses from time to time.

The loss you describe, however, is a different situation. A wind storm (a covered peril) blew off part of the homeowner's roof. All subsequent damage flowing from that storm is covered. The missing roof caused water to come into the house and damage the rafters. That damage is all covered.

Likewise, the mildew damage is covered as well. The hole in the roof—caused by a covered peril—allowed water to get into the insulation. That water was heated by the sun and caused greenhouse effect mildew damage to the drywall—that, too is covered. The proximate cause of the loss is the covered peril of wind.

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