That was followed by the mold reaching the exterior of the house. Ballard says she and her family got sick. Her husband, Ron, quit his banking job. The Ballards took Farmer's Insurance Company to court. And in a first of a kind judgment, jurors found the company mishandled the claim for mold damage.
Insurance companies say they began seeing the first mold-repair claims a year ago.
Some insurers are so concerned about the spiraling costs, they've petitioned the Texas Insurance Commission to exclude mold repairs on homeowner policies. This is a serious problem. Ballard believes her jury award could ve been even higher if the judge had allowed testimony about her family's health. The judge excluded that testimony, saying there's no scientific link between mold and serious illness. County officials have now recommended all the moldy material be removed, double bagged and hauled off to the landfill.