The bank owned T/H flooded, our insurance paid for new carpeting, but now there's mold behind walls. Ins. Co. denying adjustment to claim.

Question Details: The pipes burst in the neighboring vacant T/H over winter. The unit was in foreclosure and was owned by Bank of America. Our Ins. Co. (Allstate) intially paid for carpet, molding and curtains, but would not consider wall replacement because wall appeared dry. There were no further leaks from neighboring unit. The bank owned unit has now been sold and repaired. However, insulation behind paneling in our unit was saturated and later resulted in mold behind walls. Ins. Co. denied claim adjustment stating clause in policy regarding water seepage.

Asked 9/8/2009 under Insurance Law | 179 View(s) | More Legal Topics