Background: A homeowner found a leak hidden in the cavity of the walls between his garage and kitchen. The refrigerator hid the damage that grew on the inside. The homeowner noticed it inside the garage and replaced the water heater – thinking that was the problem.
State Farm denied there was coverage for the hidden seepage. I responded to the denial by pointing out the coverage for the hidden seepage and the policyholders' rot endorsement. State Farm responded and said – there was no coverage because rot, deterioration, and possible mold were visible on baseboards.
Is this correct? Does the hidden seepage clause not apply if the leak was inside a wall – but caused damage to baseboards hidden behind a refrigerator?
This premium content is locked for FC&S Coverage Interpretation Subscribers
Enjoy unlimited access to the trusted solution for successful interpretation and analyses of complex insurance policies.
- Quality content from industry experts with over 60 years insurance experience, combined
- Customizable alerts of changes in relevant policies and trends
- Search and navigate Q&As to find answers to your specific questions
- Filter by article, discussion, analysis and more to find the exact information you’re looking for
- Continually updated to bring you the latest reports, trending topics, and coverage analysis
Already have an account? Sign In Now
For enterprise-wide or corporate access, please contact our Sales Department at 1-800-543-0874 or email [email protected]