Understanding Commercial Insurance and Mold Damage

1/9/2020 (Permalink)

Black mold damage on wall in West Glenn Estates, AZ

You don't want to think about it, but eventually, chances are good that some type of incident will affect part of your office building. Disasters such as floods, fires and high winds can inflict severe damage in the workplace. Mold is another common culprit that people in West Glenn Estates, AZ, encounter. You're glad you have commercial insurance; however, your policy may or may not cover the cost to clean up the mold and replace ruined materials.

When You Should Have Coverage

You purchased commercial insurance for situations such as mold growth and the issues it can cause. You can expect your provider to accept and pay on your claim where the appearance of mold comes due to the following:

• Unexpected events such as a burst pipe under a sink or in the ceiling or walls
  
• Sudden appliance failure such as a ruptured water heater or a defective dishwasher
  
• Water left behind in the office after firefighters put out a fire
  
  

Payment Limitations

Be aware that even if your insurance provider accepts your claim, it may not pay the full amount to cover the mold damage. Many policies have coverage limits that don't add up to the full cleanup amount. Paying a professional mold removal company to eliminate mold and replace building materials can cost tens of thousands of dollars. Check with your insurance agent and ask about your policy maximum.

Don't Expect Help

Routine inspections and maintenance of your building's HVAC and plumbing systems are vital. You should also regularly assess the integrity of the roof, foundation and other areas where water could infiltrate the facility. If mold growth starts because you neglected these duties, your insurance agent will deny your claim. You could, however, purchase mold insurance to help you with the repair and cleanup costs.
Commercial insurance can give you peace of mind after a disaster. If you do your part to prevent mold, you shouldn't have to wonder whether your plan will cover any future cleanup and remediation needs.