Does home insurance cover mold?
When mold becomes an issue, here’s what home insurance will cover
Homeowners insurance policies don’t typically cover mold. But it might be covered in some instances, depending on the circumstances. Try checking your home insurance policy or talking to your agent about mold to see if your home insurance covers mold.
Mold isn’t generally covered under standard home insurance policies.
Jump to insightYou might get mold coverage if it resulted from a covered peril or if an accident happened in your home and led to the damage.
Jump to insightFiling a claim could cause your insurance premiums to rise, so file a claim only if the cost of repairs will be more than the cost of your deductible.
Jump to insightHome insurance coverage
Home insurance pays for damages to your home or to your belongings in case of a covered event, like a fire or storm. If you have a mortgage, most lenders require homeowners insurance to protect your property. In many cases, the homeowner makes payments to the lender, and the lender pays the insurance premium through an escrow account.
Not all homeowners insurance policies cover all circumstances and issues. While you might be covered for things like water damage from a burst pipe, you’re usually not covered for instances like flooding.
Mold issues home insurance will cover
Most home insurance policies don’t cover mold in most circumstances. But you might have coverage for mold and mold-related damage in some instances. Basically, if the mold is caused by a sudden water damage accident or other covered peril, it could be covered.
Sudden and accidental
There are a few circumstances where mold comes from a circumstance or event that is covered by your home insurance policy. For instance, if a pipe bursts in your home and the water damage causes mold, your home insurance will usually cover it.
If a bad storm causes a tree to fall and break a window in your home, leading to water damage and mold, your home insurance would probably cover that. If your washing machine suddenly breaks and causes water damage and mold in some areas of your home, home insurance will most likely cover you because the mold came from a covered event.
Mold issues not covered by home insurance
Many home insurance policies consider mold damage a home maintenance issue, so it’s not usually covered. Any mold occurrence that is a result of a gradual leak (like from a crack in a wall) is generally not covered under homeowners insurance.
Flooding
Most home insurance policies don’t include flooding. You can often buy flood insurance separately, especially if you live in a designated flood zone. Flooding can lead to mold, especially since it could take time for water to recede and things to dry before you can start repairs.
With a flood insurance policy, you may have coverage for mold, but this isn’t always the case. A floor insurance policy is separate from a standard homeowners insurance policy.
Sewage leak or sewer backup
Most homeowners insurance policies don’t cover mold resulting from a sewer backup or sewage leak because those are usually gradual. Many home insurance companies offer separate policies to add to your current one, usually called water backup or sump pump coverage.
Should I file a claim for mold problems?
If you have mold that came from an event or circumstance that your insurance covers — like a pipe suddenly bursting or your dishwasher causing a massive leak that caused mold — you may want to submit a claim to your insurance company. You’re most likely covered.
If you see mold elsewhere, like from normal wear and tear or because you neglected to care for your home properly, you probably won’t be covered.
Before submitting a claim, get an estimate from a professional to see how much it’ll cost to repair the damages. Compare that with your policy deductible. You may want to submit a claim if the cost is more than the deductible. However, if the amount is less, you might want to pay for repairs out of pocket.
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FAQ
Can I add more mold coverage to my policy?
You can’t add coverage for mold directly to your standard policy, but you can add other supplemental insurance to cover mold for some things. For instance, flood insurance and water backup coverage may cover mold in specific circumstances.
My roof is leaking, and now I have mold. Is that covered by home insurance?
Mold issues may be covered by your insurance in the event of a roof leak. It depends on when the roof started leaking and what caused it. If it’s been a gradual leak, you might not be covered. If the leak started from a recent storm that caused damage to your roof and eventually mold, you might be covered. It depends on what your policy outlines for roof coverage.
Does filing a mold claim raise my insurance rates?
Yes, in some cases, your rate will go up after you file an insurance claim.
Bottom line
Home insurance doesn’t usually cover damage from mold. But, in some circumstances, you might be covered for mold damage. If you need extra coverage, look into supplemental plans, like sump pump or flooding coverage. Ask your insurance about your coverage in various scenarios and the process of filing a mold-related claim so you’re prepared.
Article sources
ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:
- Consumer Financial Protection Bureau, “What is homeowner's insurance? Why is homeowner's insurance required?” Accessed June 20, 2024.
- Texas Department of Insurance, “When are water damage and mold covered by insurance?” Accessed June 20, 2024.
- Washington state Office of the Insurance Commissioner, “Leaks, water intrusion and mold.” Accessed June 20, 2024.
- Insurance Information Institute, “Do I need flood insurance for my home?” Accessed June 20, 2024.
- FEMA, “Is damage from mold covered?” Accessed June 20, 2024.
- Progressive, “Does home insurance cover water back-up and sump overflow?” Accessed June 20, 2024.
- Texas Department of Insurance, “Will my premium go up if I file a claim?” Accessed June 20, 2024.
