California insurers have a ticking time bomb on their hands according to many in the industry. Others, however, say the supposed bomb is being blown out of proportion. Who do you believe?
The reported bomb is mold, and insurers across the country are keeping a close eye on California and Texas to see if mold is going to drive insurers out of the two states.
A just released study by the Insurance Information Network of California (IINC), which was answered by all the major homeowners insurers in California, reports that rising household water damage claims have impacted state insurers to the tune of billions of dollars, putting a stranglehold on the California homeowners market.
According to the figures, the cost of water damage has risen in each of the last four years, jumping $47 million over the last two-year period alone.
