Ill. Federal Court: Policy Exclusion Bars Coverage for Underlying Mold, Fungi Exposure Claims

CHICAGO –– An Illinois federal court has awarded summary judgment to an insurer in a declaratory judgment action, finding it did not owe a property management company a duty to defend in an underlying mold exposure suit.

In the June 16 opinion, the U.S. District Court for the Northern District of Illinois wrote that an exclusion in the policy applied to bar coverage for underlying claims involving mold, mildew and fungi.

Tower Insurance Company of New York sought a declaration that it did not Pima Lansing a duty to defend or indemnify the company for a mold exposure lawsuit.

Pima …