See the biggest insurance problems across the country Choose a state Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware Dist. of Columbia Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington West Virginia Wisconsin Wyoming Back to main story

Acting Commissioner of Insurance Robert J. Wooley says his decision came in the wake of high-profile toxic mold cases in Texas. Ever since June 2001, when a jury awarded a Texas family $32 million in a highly publicized toxic mold lawsuit against Farmers Insurance Group, the Texas home insurance market has been in upheaval. Louisiana wanted to avoid the same fate.

Home and business insurance policies in Louisiana provide coverage for damage due to the "sudden and accidental" discharge of water, but the new exclusion makes clear that insurers do not have to pay for mold claims that arise from slow leaks associated with home-maintenance problems. Additionally, insurers do not have to pay for mold testing and/or remediation.