Ensuing Loss

Many insurance policies cover “ensuing loss” even if an initial loss was not covered.  But what exactly is ensuing loss?  In essence, it is a loss that ensues from an earlier loss. In first party property insurance contracts, the "ensuing loss" concept comes into play when the initial loss is excluded, as in the case of mold, water damage, or when a defective design causes the loss. When another loss ensues from the first excluded cause of loss, the intent of "ensuing loss" is to allow coverage for such ensuing damage.  The ensuing loss is often only covered, however, if the ensuing loss is not also excluded under the policy.

Although ensuing loss is sometimes a viable way to find coverage when an insurance company denies your claim, ensuing loss issues are complicated and you should not try to convince your insurance company that you have an ensuing loss on your own.  If you have a prior loss that caused a subsequent loss, contact an experienced insurance coverage attorney today.