Ongoing hurricane claim issues. Mold, rotted subfloors and poor insurance vendor mitigation

I lost my metal roof during Hurricane Helene, there was an old shingle roof under the metal roof. Two weeks later Hurricane Milton shredded my tarp. Water entered my mobile home through the master bathroom roof. There was clearly visible water damage to the laminate floor, the insurance adjuster never addressed the moisture or subfloor damage.

It took four weeks for the insurance company to send out their preferred water mitigation vendor. All they did was place a single dehumidifier in the bathroom and remove some insulation from underneath the home. I had to pull up all the laminate flooring myself.

They did not follow any of the IICRC standards for Category 3 black water mitigation, no containment barriers, HVAC was left running, and vents were left uncovered in the affected areas. As a result, mold spread throughout the entire home.

Now the insurance company says I only have limited mold coverage, they sent the same vendor (who failed to follow proper protocol the first time) to do the mold remediation at a cost of $24,000, which I refused.

It’s now been a year, the claim is still open, we were given limited funds for drywall and new laminate. The water traveled under the laminate throughout the entire home, we’ve had to pay out of pocket to replace rotted subfloors. We never got actual mold mitigation, done all that ourselves. I’ve hired a public adjuster, but the insurance company still refuses to cover the subfloor replacement. They expected me to put new materials over rotted subfloors. I have filed claims with the state and mediation is now my only option.

My main question: Does the insurance company have responsibility for the work (or negligence) of the vendors they send?

Any advice on how to directly approach this at mediation?

Dear Kathy,

I’m very sorry to hear about the difficulties you’ve encountered, this is a tough situation. When you mentioned “mediation,” I believe you may actually be referring to “appraisal.” These are two different processes, and it’s important to distinguish between them.

Typically, the insurance company is not legally responsible for the actions or workmanship of vendors they recommend. In most cases, the contractor would have asked you to sign a work authorization, which means you hired them directly, not the insurance company. Because of this, the carrier generally has no liability for the contractor’s performance.

More importantly, your policy requires you to take reasonable steps to protect the property from further damage after a loss. A three-week delay, as you described, could be interpreted by the carrier as a failure to mitigate. That said, the key first step is to clarify whether the insurer is disputing coverage for the subflooring or simply disputing whether it was damaged and requires replacement. This distinction matters because coverage disputes cannot go to appraisal, but disputes over the extent of damage (scope of loss) can.

If coverage is not in dispute and the disagreement is about whether the subfloor needs replacement, appraisal may be a good option. In this process, you would hire an independent appraiser, the carrier would do the same, and if the two cannot agree, a neutral umpire is selected to make the final determination. This tends to be a relatively efficient way to resolve claims without litigation.

If, on the other hand, you are actually heading into mediation, then the approach is different. In that case, I strongly recommend retaining an attorney to represent you. They will review the facts, prepare your case, and ensure your rights are protected.

UP has two great resources to help clarify these processes, which you can peruse here:

Insurance Appraisal Simplified

A Policyholders Guide to Mediation

I hope this provides some clarity and guidance.

Best Regards, Brian

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