After All that Water, Mold Claims to Rise in Florida
Commercial Property News
September 14, 2004

By Therese Fitzgerald, Editor/Ancillary Products

After hurricane season ends in Florida, mold-related insurance claims and litigation are bound to begin.

"As people survey the damage and look for ways to recoup their losses, there may be increased claims for mold infestation and lawsuits against insurance companies if they deny the claims," said Bennett Katz, an attorney with the law firm of Ohrenstein & Brown L.L.P.

But many of the personal injury and property damage claims will come after windows and roofs and leaks are replaced.

"One of the important issues is that the remediations are going to have to be done extremely well with careful attention placed on effective drying before new construction," said Ronald Gots, M.D., P.h.D, chief science officer for Building Health Sciences, a company that investigates and remediates building health issues. "If that is not done, that will clearly increase mold-related claims."

The damage in Florida has been extensive, but there is no guarantee claimants will be successful. Some insurance companies have exclusions for flooding and environmental issues, such as mold.

And, while Florida is one of the most active states for mold litigation, mold-related case law to date is still all over the map. "There are courts that have allowed these suits to continue," said Katz, who defends property owners and insurance companies in civil lawsuits regarding environmental issues on premises. "And there are others that have found that the law has gotten ahead of the science."

In May, the results of a study by the National Academy of Sciences Institute of Medicine found no evidence--but did not rule out the possibility--that mold can cause severe heath problems as has been alleged in a number of suits.