Suing Over Toxic Mold: Homeowner's Insurance

Toxic mold has become a point of controversy for many homeowners and renters alike, as it is being blamed for many diseases, especially among children or older citizens. Ironically, there is no such classification. There are many forms of mold that may cause damage to property and illness to people, but none has been literally classified as “toxic.” However, when damage and injury can occur because of a substance such as mold, a victim may have a right to file a legal claim.

What Is Toxic Mold?

Mold is a fungus that can be found both indoors and outdoors. It commonly grows in cool, most places, often in a bathroom or basements in the home. There are thousands of types of mold, many of which are not harmful. Generally, mold only causes health problems when it grows out of control and there is a build up in a specific area. One of the most difficult aspects of mold is that it is very difficult to remove. It spreads by way of spores which can survive even very dry, harsh environments. These invisible growths can also spread through the air, making it even more prolific. What is known as toxic mold is more accurately called toxigenic mold. That means that under correct conditions, they can produce mycotoxins, which may cause serious health problems.

Legal Remedies

Anyone who has a concentration of mold that is causing damage and health problems should consider several options when determining who may be liable:

Homeowner’s insurance – may cover mold infestations, although that is by no means universal. Some policies include coverage for natural perils, and if that natural peril is the source of the mold, the insurance company should provide compensation. Others have specific exclusions that may limit their coverage of mold infestations that grow over time

Home builder or contractor - may have failed to install ventilation as ordered

Architect or engineer – may have neglected to include proper ventilation in the building plan

Materials suppliers – mold can live in construction materials and it may have been “imported” into the home at construction

Previous owner or their realtor– should reveal any previous mold problems, but if they did not, they may be liable for that failure

Inspector – should have detected mold before the home was purchased

Condo association – as building owners, they should maintain the common property and building and may be liable for mold infestations

Landlord – owners or managers must hold an “implied warranty of habitability.” That means that they must maintain the property in a way that is free of hazards for the renter and their property

Every situation is different, but if a homeowner finds a mold infestation in their home that should be covered by their homeowner’s insurance, they do have recourse through the “covenant of good faith and fair dealing.” Insurers are held to a standard of responsibility to fulfill the terms of that insurance policy, and if they do not, the homeowner may be able to file suit for their violation of that covenant as well as for compensation for the mold infestation.

Getting Legal Help with Toxic Mold

In many instances, fighting toxic mold in the home should be a simple matter of filing a claim with their homeowner’s insurance company and receiving compensation or professional clean up. However, if an insurer balks at providing that coverage, a homeowner may have to consult a personal injury lawyer to learn their options.

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