The horror stories are going to get worse

[Guest guest]

http://www.ieconnections.com/0400_article1.htm

From April 2000 IE Connections

by Valenti

Insurers Call Mold Claims

Biggest Issue This Year

Volume 1, Issue 6, April 2000

At last month's ASCR convention, insurance representatives joined forces

with remediation contractors in a panel discussion aimed at debating where

the industry is going. Yet one of the biggest questions of the session

stemmed from a TV news magazine show and not the latest cleaning and

restoration techniques.

The moderator of the discussion was Griggs, now former president of

the National Institute of Disaster Restoration. Panelists were: Fred Huestis

of Nationwide Insurance; Warren Farrar of State Farm Insurance; Clint Owings

of ptc-net; Apple of United Construction; and Headen of First

Restoration Services.

So how did Dateline and toxic mold get brought into the debate? The news

program had just aired Melinda Ballard's Stachybotrys story prior to the

conference, so many of the questions from Griggs' were related to mold

remediation and asthma and allergen problems.

" " This is an enormous issue for all of us in this room, " said Farrar. " Is it

[mold] covered by the insurance policy? What lengths do we concern ourselves

with a leaky roof? The courts will decide a lot of this, but we have to make

certain that we do things right in the meantime. "

He added, " Mold claims will be the single biggest issue to address this

year. "

Some panelists suggested that mold may the new asbestos issue. How insurers

react to it, how they handle it, will be very important. Among the

suggestions to combat the problem was better underwriting and loss control.

However, the costs of improving such functions are passed along to the

consumer with higher rates.

Headen added that mold remediation in his business is a number one concern,

and said, " The horror stories are going to get worse. "

Indoor Environment Connections

10400 Connecticut Ave., Suite 510

Kensington, MD 20895

(301) 962-5070 | (301) 962-5125 (fax)

E-mail: IECnews@...

Copyright © 1999-2000. Indoor Environment Communications, Inc. All Rights

Reserved.

This site is maintained by Webfoot.Net. We may be contacted at

info_iec@....