Congress Enters Mold Battle

September 16, 2002

tory

September 8, 2002

In an attempt to end the battle between insurance companies and consumers

about who is responsible for household mold remediation, legislation has

been introduced in Congress that will tackle the myriad issues involved in

the dispute.

The U.S. Toxic Mold Safety and Protection Act, introduced by Rep.

Conyers Jr. (D-Mich.), calls for government-sponsored studies to determine

the health effects of " toxic " mold exposure, the most hotly contested issue

in the debate.

Additionally, the bill calls for standards for the prevention, detection and

remediation of indoor mold growth and provides for local jurisdictions to

modify building codes to minimize mold hazards in new construction.

The legislation incorporates an annual mold-inspection protocol for rental

properties, and a mold-inspection clause for properties purchased with

federally insured loans. It also calls for the development of mold insurance

pools that would cover the costs associated with mold cleanup for those who

purchase the coverage.

Consumer advocates greeted the proposed legislation with enthusiasm; the

insurance industry expressed cautious optimism.

" We're very pleased that this legislation is being considered, " said Jerry

Davies, a spokesman for Personal Insurance Federation, an insurance trade

group. " The industry wants to be able to provide policies for California

homeowners, but at the rate litigation costs have been going up, it's

getting harder to do so. This is a good beginning. "

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