How the Insurance Industry Can Solve our Nationwide Mold Problem

by Michael Rubino

Most individuals are probably unaware of what insurance coverage they have for mold growth, and anything they do know is hazy at best. Unfortunately, by the time people start to consider what their mold coverage is, they’re facing a current colonization problem. It’s an unfortunate and generalized fact of modern-day life. 

 While society doesn’t yet consider mold a prevalent problem, that doesn’t mean it isn’t one. Most individuals will experience some type of mold exposure during their lives, and it’s often right in their own homes or businesses. As research regarding mold continues to evolve, we too must adapt to the times to better treat and prevent this fungi’s growth. With the average human breathing in over 20,000 breaths a day, and most of these taken inside, air quality is immensely important; even if it’s not widely discussed or thought of. 

 That’s why insurance coverage is so pivotal. By fostering a new system that focuses on building mold awareness and protection for clients, the insurance industry can assist in creating a safer indoor environment for all. 

 

Educating Clients 

A great first step in creating a better system overall would be to help clients understand what mold is, how mold can affect their lives, and what coverage they have should a mold problem develop. Mold can happen to anyone, in any home, and at any time. By explaining how this affects the indoor air quality, the cost of remediation, and the potential impact on their health from exposure, individuals will be able to make educated decisions on how much coverage they need. 

 In the current system, mold insurance is a bit muddled. As mold insurance is not mandatory for home insurance policies, some people may not have coverage at all. It’s often an add-on that many may not even consider when building a policy. Outlining the importance of coverage and the options available can help policyholders ensure they’ll be protected should a mold event occur. They shouldn’t just stop at mold and fungal insurance, though. 

Weaving in other policies like property damage, flood damage, loss of use, and personal damage can help mitigate what could be an expensive remediation treatment. Mold knowledge and research continue to advance, and remediation techniques follow suit. What used to cost a few thousand dollars for treatment may now easily exceed $10,000. It’s not just about eliminating a single spot of mold. It’s finding all of the areas with issues, remediating the mold, fixing the sources, and eliminating every contaminant from the colonization. While that may seem like overkill at first glance, it helps prevent mold from coming back and creates a healthy environment for anyone experiencing the symptoms of exposure. At the end of the day, though, that can be a hefty bill without insurance to help cover the cost. Having extensive coverage can help policyholders focus on healing instead of fretting about cost or potentially cutting corners.

Furthermore, explaining the exclusions can prevent confusion down the road should a mold problem occur. For example, which situations are covered and which are not? Many policies include clauses such as “sudden and accidental occurrence” or “covered peril.” These restrict coverage to incidents that happen out of the blue, like a burst pipe. Should mold growth occur due to a leak in the attic that went on for a few months, that would not be covered under these policies. Some of them also do not cover flood damage, which would be a separate policy option. On the positive side, in explaining the qualifications of the offered policies, clients will be more prone to preventative measures they can take to safeguard their homes or businesses. 

Preventative Measures

A great idea for insurance companies would be to implement a new strategy geared towards encouraging clients to take preventative steps to discourage mold growth and rewarding them when they do. This will piggyback off of educating policyholders on what their options are and why mold awareness is such an important issue. 

A system such as this may include an education packet for owners so that they have an outline of how to properly maintain their property. By working with experts in the field, this packet can be a guideline on steps to take as soon as they purchase the property as well as continued actions throughout the course of their ownership. By empowering these individuals to take action now, they can prevent future problems down the road, saving them and insurance companies a significant amount of money for remediation costs. 

Another addition could be including an initial assessment of the building to point out any problem areas or potentially problematic areas in the structure. The company can then make realistic recommendations, structured around an expert’s opinion, to improve the home. If the owner complies and corrects these issues, they can reassess their coverage rates during their renewal time. This not only encourages ownership awareness but, again, saves money by helping prevent future problems. 

No one wants to spend money when they don’t have to. But in a cost-benefit analysis, taking preventative measures now saves more money in the long run. Not to mention the numerous negative health effects that can be avoided. 

Create More Protection 

Mold spores are everywhere. They exist indoors, outdoors, in old buildings, and in new buildings. It’s a fact of life. When these spores begin to colonize inside, though, that’s where the problem exists. 

Mold spores can begin to grow in as little as 24 hours, and all they require is food, oxygen, a temperature between 40 and 90 degrees Fahrenheit, and a small amount of moisture. With most indoor spaces ticking these boxes, the only thing spores need is a slightly damp area. This wet environment could be a small piece of damp carpet, condensation in a bathroom, or an improperly constructed basement. And all it takes is one rogue spore. 

That one spore then begins to generate even more spores, which it releases into the air. Should another spore come into contact with another damp area, they’ll colonize that space too. It’s quite easy to do. Some species of mold also have the capability of producing microscopic toxins called mycotoxins that they release into the air. Taken collectively, these particles can cause a long list of adverse health reactions to those exposed. Individuals with preexisting conditions, developing immune systems, or compromised immune systems are particularly susceptible to the effects of mold exposure. 

That’s why coverage is so important. Without the aid of insurance, many individuals who are in the throws of a mold outbreak may not be able to cover the cost of full remediation. This means any individuals experiencing the effects of mold exposure will continue to suffer until the problem is eradicated, which may take months or years as they attempt to gather the funds. Involving mold awareness and preventative measures is a fantastic first step to avoiding mold growth, but it can sometimes still manage to slip in. Automatically adding mold to policies, creating more extensive coverage, or formatting coverage with fewer exclusions are a few options that can help clients rest assured that should this terrifying event occur to them, they’re backed by their insurance company. They’ll know exactly what to do, who to call, and the proper steps to take to handle the situation. 

While it may require a structural overhaul, it will offer customers better coverage and more peace of mind for any unexpected mold events. 

Change is Ahead 

Mold awareness continues to grow, but we’ve still got a long way ahead of us. As we continue to learn more about this fungus, that means industries will also have to rise to the occasion to better handle and prevent indoor mold. Especially as research continues to assess the impact mold exposure can have on our health. 

The great news is that by better understanding the problem, we’ll have a better understanding of how to solve it. Taking collective action industry-wide can help ensure better indoor air quality in all homes and buildings across the world. Everyone deserves to live in a safe, clean, and healthy environment. [IA]

MICHAEL RUBINO is an air quality expert who helps bridge the gap between the air in our homes and its direct impact on our health. Rubino works with over 100 doctors globally to not only raise awareness but also provide solutions to correctly identify and remove the pollutants causing this global health crisis. As President of All American Restoration, Rubino specializes in working with people who are immunocompromised or have acute and sustained reactions to mold exposure and has helped heal over 1,000 families—including celebrities and athletes. He is also a council-certified Mold Remediator by IICRC and ACAC and is a contributing member, sponsor, and speaker for the Indoor Air Quality Association. He is the author of The Mold Medic and a contributor to MindBodyGreen. Rubino has been featured on Gwyneth Paltrow’s The goop Podcast and goop’s website, Brandi Glanville’s Unfiltered podcast, Luke Storey, Forbes, USA Today, and Bloom TV, to name a few. He hosts the YouTube series, Mold Talks, where guests include medical experts as well as mold recovery patients, including media