Court Finds No Basis for Homeowners' Suit for Consequential Damages

MINEOLA, N.Y. - A New York court has denied a couple's efforts to assert a claim against their homeowner's insurer for personal injury damages related to mold exposure, finding that coverage was limited to property damage. Soehl v. State Farm Fire and Casualty Co., No. 08656/2005 (N.Y. Sup., Suffolk Cty.).

William and Antoinette Soehl and Deborah Soehl-Gutierrez complained that State Farm Fire and Casualty Co. was guilty of bad faith and negligent breach of the insurance contract in its handling of the Soehls' claim for repair costs and testing after their home suffered water damage in October 2000.

State Farm …