When Renters Insurance Will and Will Not Cover Mold Damage
Instead of asking whether or not rental insurance covers mold damage, you should consider rephrasing the question to "Does renters' insurance cover mildew damage or mold remediation?" Phrased like this, you have a better idea of what to look for when perusing your renters' insurance policy. During your review, you should look for the following items:
• Duty to mitigate
• Mold caused by a covered peril
Within each of these sections, you should find information regarding what type of damage is and is not covered.
Typically, the limits on mildew damage in a rental insurance policy are relatively low, at right around $5,000. This should be enough to cover the cost of damage. If the damage is more than $5,000, the insurance company might assume that the damage was present for a while and that you failed to mitigate it in time.
Duty To Mitigate
If the mold was present before you moved in, or if it’s a result of an inherent defect with the property, then mold removal is likely the landlord's responsibility. However, if the damage was caused by a covered peril, and if it could have been stopped from spreading, the insurance company may only cover it up to the point where you should have known about it. For instance, if the damage was caused by a leaky pipe, and if you knew about the leaky pipe but failed to inform your landlord of it so he or she could make the repair, damage caused to your belongings may not be covered.
Mold Caused by a Covered Peril
If the mold damage was caused by, say, the water from a hose used to put out a fire, and if fire is covered under your policy, then the damage should be covered by your policy. However, you likely must prove that you made a good faith effort to prevent the damage from becoming worse.
If you discover mold on your rental property, reach out to the mold remediation experts in Brooklyn, NY, to discuss remediation options. The experts can also help you examine your rental insurance policy and determine whether or not the damage is covered.
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