Title Insurance Coverage with Mold

[AgentSmithers]

What is the name of your state (only U.S. law)? California

Dose Residential Title Insurance on a home cover mold growth? I assume that's normally excluded as a material defect and as an environmental issue?

 

[OHRoadwarrior]

Title Insurance covers claims against the title. Home owners insurance may cover mold issues depending on whether you have coverage for the issue.

 

[FlyingRon]

Unless the deed has mold on it.

As OHRW points out, title insurance warrants that the title is as the title search states and covers any issues that come up with any claims otherwise. It is not warrantying anything about the condition of the property nor any undisclosed defects, etc...

If you have proof that the seller knew the mold condition was there and failed to disclose it, you may have a cause of action against the seller. If they didn't know or it arose after the sale, you're on your own. As OHRW points out, this is often covered under your homeowner's policy.

 

[quincy]

Many homeowner's policies specifically exclude or limit coverage for mold.

Following are two links to information, the first to California's Toxic Mold Protection Act of 2001 followed by a guide on mold from the Insurance Information Institute.

California's Toxic Mold Protection Act (see page 27 for the text and page 33 et seq, Article 4, for necessary disclosures):https://www.cdph.ca.gov/programs/IAQ/Documents/SB732-LegReport-Final.pdf

Insurance Information Institute, Protecting Your House From Mold: http://www.iii.org/article/protecting-your-house-mold

 

[AgentSmithers]

Many homeowner's policies specifically exclude or limit coverage for mold.

Following are two links to information, the first to California's Toxic Mold Protection Act of 2001 followed by a guide on mold from the Insurance Information Institute.

California's Toxic Mold Protection Act (see page 27 for the text and page 33 et seq, Article 4, for necessary disclosures):https://www.cdph.ca.gov/programs/IAQ/Documents/SB732-LegReport-Final.pdf

Insurance Information Institute, Protecting Your House From Mold: http://www.iii.org/article/protecting-your-house-mold

Thank you Team!

 

[quincy]

You're welcome, AgentSmithers. As always, we appreciate the thanks.