The Problem: A real estate investment trust insured by XL Environmental leased the majority of a building to a university, which used the space for administrative offices. The university claimed the building was contaminated with a species of mold that allegedly causes cancer.

The Response: XL Environmental Claims’ proactive response included working with the insured to retain mold and toxicological experts, and to observe air sampling to confirm or dispel mold conditions. XL Environmental Claims determined the cause of the mold, and whether rights of recovery existed against maintenance and building contractors.

The insured’s Pollution and Remediation Legal Liability (PARLL) policy provides coverage for the investigation and remediation of the mold conditions.

Benefits: Due to the potential seriousness of the claim (adverse health risks to hundreds of people and significant loss of rental income by the insured), XL Environmental Claims expeditiously responded to the insured. XL Environmental Claims has continuously worked with the insured in coordinating response to the tenant’s concerns, identified and retained appropriate air quality and toxicology experts and will attend sampling activities in order to make field decisions regarding areas requiring remediation.