Mold issue

[Jimmyhtz]

What is the name of your state (only U.S. law)? CA
13 years ago, Allstate covered a claim that involved a pipe breaking in an upstairs unit in my condo that in turn flooded my unit.

The adjuster came out and gave me a list of items damaged to be repaired, such as the ceiling, carpet and such. At no time the adjuster instructed me or the contractor to do anything beyond the obvious damage. They gave me no instructions to do anything to prevent mold from growing from the leak. At that time I never heard of toxic mold, I only thought mold grew on bread.

Allstate determined the leak caused $15,000 in damages. Wrote me a check and instructed me to hire my own contractor. I hired a contractor who did exactly what the adjuster listed within the monies I received from the settlement.
I understand that Allstate subrogated the upstairs unit's insurance for the amount.

Recently we decided to turn our unit into a vacation rental and moved out to do some upgrades. When the contractor removed the linen closet to install a washer/dryer unit he found significant mold growing where wall and the back panel of the closet meet.
He peeled back the wall and the mold extended about 10 feet in each direction behind the paneling and in the insulation causing about $15,000-$20,000 in damages in addition to my upgrades.

My wife and I have gotten very sick over the past couple of years, I am now on Social Security Disability. I do not know yet if our sickness is the result of the mold.


When I contacted Allstate they said:

1. Mold is specifically excluded from your policy.
2. It was the contractors fault, they should had known to go beyond the adjuster to fix the water damage. (The contractor is now out of business)
3. The person who lived upstairs is liable, his unit flooded yours. (The person died several years ago and his unit has been sold twice since then)
4. It has been 13 years since the claim, your statue of limitations has run out.
5. We have probably purged your file from our system since it was from so long ago, we no longer have records of the original claim. (I can't seem to find my copy either)

I believe:

1. This is not a new claim for mold damage, the mold is the result of the adjuster not telling me or the contractor to go beyond the obvious damage.
2. The adjuster should had told the contractor to remove the closet and replace to prevent mold, not the other way around.
3. The person upstairs may have caused the leak, but the mold could had been prevented if the adjuster simply told us to fix beyond the obvious damage.
4. My understanding that the clock on statute of limitations starts ticking on the discovery of the mold, which was a couple of days ago.
5. I needs help if they have purged my file. I was happy with the settlement amount and the contractor's work for the entire time until the mold discovery. I had little reason to keep my files for that long.

 

[Bruno]

I sympathize with your predicament. To receive helpful advice from the knowledgeable contributors of this forum, please distill your legal inquiries into a few concise forms of direct questions.

 

[tammy8]

Mold is excluded when caused by long term neglect.

 

[moburkes]

I'm not sure if mold was excluded from insurance policies 13 years ago. Likely it was, but I'm just saying I'm not sure. In any case, it really did happen too long ago, and I agree that your contractor should have known to look it, if he had done repairs before.