Mold Rules Outside The US
What ombudsman services and industry regulators in the UK, Canada, Australia, New Zealand and Ireland say about mould.
United Kingdom
The ombudsman says mould usually builds up over time and does not appear suddenly.
For example, mould isn’t usually something that suddenly appears.
If an insurer uses an exclusion to turn down a claim, the insurer has to prove the exclusion applies.
if you’re relying on an exclusion, then it’s your responsibility to prove it applies to the claim.
The ombudsman is likely to say a claim should be paid if the customer could not reasonably have known the damage was building up.
we think the customer couldn’t reasonably have been aware of the damage happening gradually
In one case the ombudsman agreed a claim could be turned down because the damage came from condensation, which policies treat as gradual.
excludes cover for damage caused gradually over time, like damp or mould.
In another case the ombudsman agreed mould on walls and ceilings was not sudden damage.
Mould takes time to develop indicating that there is an ongoing
The ombudsman ordered an insurer to pay £2,000 for delays that left a family living with damp and mould after a leak claim.
So I’m satisfied that an award of £2,000 compensation reflects the impact of
Canada
Basement water damage from a sewer backup is covered only if you bought optional sewer backup coverage.
Water damage in a basement due to a sewer backup is only covered if you have purchased specific, optional sewer backup coverage.
Groundwater and seepage coverage are not standard on all home policies.
Groundwater and seepage coverage are typically not standard coverages offered across all home policies.
Some insurers sell groundwater and seepage protection as optional add ons.
Some insurers offer both groundwater and seepage protection as optional endorsements.
Australia
The council says mould risk depends mostly on trapped moisture, not just how long it has been.
Mould risk is mainly associated with retained moisture and suitable growing conditions, rather than elapsed time alone.
Not every water damaged home needs drying, strip out or mould remediation.
Not all homes will need drying equipment, strip-out, or mould remediation
After a water event, the council advises bagging soaked items before moving them so mould does not spread.
Where possible double bag the affected items before moving them to prevent spreading mould.
New Zealand
Not knowing about hidden damage does not stop it from being gradual damage.
Your knowledge about the damage is not relevant to whether it is gradual.
If the insurer relies on a gradual damage exclusion, it must show the damage built up over time.
If the insurer relies on a gradual damage exclusion, it needs to show the damage developed over time
Hidden leak extensions in house policies are usually capped at about $2,000 to $3,000.
The extension is usually capped at about $2,000-3,000.
Most owner occupier house and contents policies include limited cover, often $2,000 to $10,000, for some damage that is not sudden.
Most domestic house and contents policies for owner / occupiers include a limited amount of cover (e.g. $2,000 - $10,000) for certain causes of damage that are not sudden.
Ireland
The CCPC says wear and tear, such as water damage from a leaking shower, is not usually covered by a buildings policy.
Wear and tear in the structure or the inside of your home, for example roof damage or water damage caused by a leaking shower