Residential Major Asbestos Spill Causing Hardships
We conducted a residential asbestos survey in southern Colorado that sustained a moderate scale fire loss. This is a landlord/tenant property and testing revealed a major asbestos spill of wall/ceiling material that has contaminated the entire dwelling. Property owner is in serious shock over his insurance policy having no coverage for testing and abatement of asbestos. Estimated property damage without asbestos work $55,000.00 estimated with abatement work $90,000.00. The owner will be out $35,000.00 out of pocket beyond the deductible due to lack of coverage. They are seriously considering abandoning the property as they cannot afford the expenses.
Take home message for this situation, is to make sure you are covered for asbestos testing and abatement in your homeowners policy especially if your home was constructed prior to 1980. Also be aware that some major carriers are quietly excluding this coverage from policies in force. American Family Insurance quietly trimmed down it's asbestos coverage significantly this just last year and we have seen it cause multiple instances of significant financial hardship.