Insurance Company Not Doing Job Properly - Including Possible Mold Problem

by Ken Spaski
(Calgary, Alberta)

Hi there. Two and a half years ago, we bought a built to spec house worth $900,000 in a very depressed housing market. We are extremely fortunate. One of the pumps in the basement failed which caused a sewage flood, limited to the basement. Our insurer, *Cheap As Hell Insurance, sent out a cleanup company who moved attached cupboards, area rugs, and whatever else was affected by the sewage. The day after the sewage disaster, suddenly, water leaked out of the basement ceiling through a light pod and a speaker grill in the ceiling. The two clean up experts who saw this said to be careful because if there is insulation, it won't dry out for a long time. I asked him to report this second problem to his main supervisor, but he didn't.

It is now about 12 days since the disaster. The insurance company wants to do a patch job on the basement carpet that was affected by sewage. It would look worse than Frankenstein's monster. Bottom line is that I don't trust them. I think it would be best to be proactive and hire a company that tests for mold as soon as possible. Do you agree it is better to lose $500 to $1000 (or more) now, than risk a hefty bill denied by insurance somewhere down the line.

I can honestly see *Cheap As Hell Insurance refusing the second claim in the ceiling saying they were separate problems. Instead of paying $1000 to $2,000 now (estimate) to remove wet fiberglass, mold or whatever, it is much better than having to rip apart the entire ceiling in the future. Does anybody have any input?

*I used Cheap As Hell Insurance as we are still in negotiations.

Our Reply

Hi Ken,

Sorry to hear about your water damage and possible mold problem. We agree that you need to be proactive and protect your home and your property. Get your property tested and have some experts take a look. Improperly cleaned sewage, and mold, can lead to long-term health problems for you and your family. No amount of money is worth sacrificing your family’s wellbeing.

You can follow this link to get a list of local mold testing experts that can evaluate your property and let you know if it has been cleaned correctly, and if there is any mold. They will also be able to determine the cause of the damage. Don’t delay.