Wis. Policyholders Entitled to Coverage of Mold Damage from Defective Caulking

MADISON, Wis. - Neither mold nor faulty workmanship exclusions preclude insurance coverage for interior mold damage resulting from defective caulking, the Wisconsin Court of Appeals held Sept. 23. Arnold v. Cincinnati Insurance Co., No. 03-2483 (Wis. App. Ct.).

The court reversed in part the summary judgment granted Cincinnati Insurance Co. by the Dane County (Wis.) Circuit Court (No. 02CV001612). The Court of Appeals concluded 'that any damage to the interior of the house that was caused by rain in conjunction with the damaged caulking is a loss ensuing from the excluded loss caused by faulty workmanship or faulty materials.'

'This …