A remediation contractor in Pensacola finishes a job in a rental duplex, and the clearance test passes. Eight months later the tenant moves out, the landlord finds mold behind the new drywall, and both the landlord and the former tenant, who claims her child’s asthma worsened, file claims against the contractor. Nothing fell or broke on the job. The claim is entirely about whether the work was done right.
Claims against restoration contractors look different from claims against most contractors. They are less often about an accident on the job and more often about the outcome of the work. The scenarios below are illustrative of common patterns, not descriptions of specific claims.
Mold That Comes Back
The signature claim in this trade is mold that returns after remediation. The property owner, a later tenant or a buyer alleges the source wasn’t fixed, the affected materials weren’t fully removed or the area wasn’t properly dried and treated. These claims can arrive months or years after the job, which is why the policy form, occurrence or claims-made, and the retroactive date matter. They are pollution and professional claims, not ordinary general liability claims, as we explain in what water mitigation and mold remediation insurance does not cover.
Cross-Contamination
Remediation disturbs mold, and poor containment or air filtration can spread spores into parts of the building that were clean. The resulting claim can involve the cost of remediating the newly contaminated areas, damage to contents and, in occupied buildings, health complaints from residents. Containment logs, negative air records and photographs are the contractor’s best defense.
Incomplete Drying
In water mitigation, the common claim is secondary damage from drying that stopped too soon: hidden moisture in walls, subfloors or cabinets that later produces mold, warping or odor. Insurers paying the property claim may also pursue the mitigation contractor to recover what they paid. Documented moisture readings at the start and end of the job, taken with instruments rather than by touch, are what answer this claim.
Health and Bodily Injury Allegations
Mold and sewage claims often include allegations that occupants became sick, particularly children, older residents and people with respiratory conditions. These claims are expensive to defend even when the medical link is weak, and on many general liability policies they fall under the pollution exclusion. Contractors pollution liability is what responds.
Damage to the Property and Contents
Restoration work damages things: flooring scratched by equipment, a dehumidifier that overheats, a breaker overloaded by drying equipment, demolition that goes further than necessary, contents broken during pack-out or damaged in storage. Some of these are general liability claims, while property in the contractor’s care often needs inland marine or bailee coverage.
Employee Injuries and Vehicle Accidents
Technicians lift saturated drywall and carpet, work in attics and crawlspaces, handle chemicals, work in buildings without air conditioning and drive at all hours to emergency calls. Workers’ compensation claims for back injuries, falls and heat illness are common, and vehicle accidents on emergency calls are a steady source of auto claims. Both are often among the largest costs in the program, as we explain in what this insurance costs.
Assessment Errors
Mold assessors face claims that they missed contamination, wrote an inadequate protocol or cleared a space too early. These are professional liability claims, and because Florida separates assessment from remediation on the same project, an assessor’s opinion is often what a remediation contractor relies on, which puts both firms in the claim.
Worth Confirming
-
Your liability program covers mold, bacteria and sewage claims
-
Professional liability covers remediation and any assessment work
-
You know whether your policy is occurrence or claims-made, and your retroactive date
-
Containment, drying and clearance are documented on every job
-
Contents in your care are insured
-
Workers’ compensation and commercial auto are in place
Talk to Prestige Insurance Group
We write water mitigation, mold remediation and restoration contractors across Florida through specialty markets that offer contractors pollution and professional liability built for this work. Send us your current policies and a description of your services, and we’ll compare programs form to form, not just premium to premium.
Call the office nearest you. Se habla español.
-
Miami: 305-969-8776
-
Orlando: 407-993-2331
-
Stuart: 772-247-3788
Related Resources
-
What Water Mitigation and Mold Remediation Insurance Does Not Cover
-
Insurance Requirements for Mold Remediation and Water Mitigation Contractors
General information only, not legal advice. Policy forms, exclusions and endorsements vary by carrier and by policy. Florida licensing requirements for mold assessment and remediation and the rules on assignment of benefits can change; confirm current requirements with the Department of Business and Professional Regulation and qualified counsel. Prestige Insurance Group, Florida agency license L057894.
