No Coverage, As Court Distinguishes Leaky Roof From Water Damage

HOUSTON - A Texas federal judge on May 19 upheld a mold exclusion in a homeowner's policy after finding the proximate cause of the mold to be a deteriorated roof rather than water damage. Hood v. State Farm Lloyds, No. H-03-2621. (S.D. Texas).

Michael Hood sought coverage from State Farm Lloyds for mold he said he discovered in February 2002. State Farm's claims agent hired an engineer and a plumber to investigate, who confirmed the mold problem but reported that it stemmed from a roof leak of at least six months duration. State Farm denied the claim as untimely.

Hood …