What to Do When Fungus Attacks

They say it's like a scene from horror movie: "Invasion of the House-Eating Fungus." For one couple it's real life... a battle to save their home. It could happen to anyone. What can you do when fungus attacks?

Story Script:

Orange blobs had oozed up overnight... along baseboards... behind furniture... everywhere.

Judy Moore:
It looked like there was French bread growing up thru the floor. It had grown up around the legs of the dresser. It was eating his shoes!

Walter Moore:
It was freaky! The fungus ate my flip flops.

Judy And Walter Moore were under attack. Their lovingly-restored historic home was being eaten from the foundation up.

Judy Moore:
What was it? What do you do? Who do you call?

Their home quickly became a battleground as they fought not only the strange growth, but also their insurance company.

It's a battle that's left them on the brink of financial ruin.

Trouble started with the first call to their insurance company, Safeco, which denied that their homeowner's policy covered the problem.

Judy Moore:
It was MY fault. It was Walter's fault.

They argued, so Safeco sent in a forensic scientist to investigate, digging up her beautiful hardwood floors.

Judy Moore:
When we pulled it up, you see there was a strange, viney looking spider webby growth.

Experts identified it as Poria incrassata, a rare wood-eating fungus. California is one of the places it shows up.

Judy Moore:
A fast-growing fungus that is triggered by water and it can blossom, as it did, overnight like mushrooms do in your yard.

Safeco eventually agreed they were covered. Judy was relieved until she read up on the invader on the Internet.

Judy Moore:
It's scary stuff.

Able to eat an entire house in a year or two.

Judy Moore:
What is this stuff? It's like science fiction! It's wild! It's wild.Who has this?

Wild... and devastating for a homeowner.

Judy Moore:
I try not even to come back here.

Walter Moore:
But this isn't just a house, this is our life's savings.

They say Safeco authorized fungus removal and repairs in writing and sent in a team.

Judy Moore:
They come out and they don hazmat-type white suits, put on the gas masks.

The highly contagious spores are harmless to people, but could contaminate the whole neighborhood.

Judy Moore:
They started by just tearing out the closet.

But the fungus had spread, so they gutted the bathroom, stripped the hallway, the master bedroom and excavated the foundation.

Judy Moore:
We're down to dirt.

$350,000 in damage, and then...

Judy Moore:
They say it's moved to the second of your two bedrooms and we need to tear that down.

The couple would have to move out. So Judy checks with Safeco, which tells her there's been a horrible mistake.

Judy Moore:
You misunderstood. The most we're covering you for is $10,000. I said I didn't misunderstand. I've got it in writing.

Judy turned it over to her husband... a trial attorney.

Walter Moore:
She's got it in writing!

He says Safeco now claims that the couple and safeco's own adjuster misunderstood a clause in their contract called...

Walter Moore:
Additional Property Coverage. In big, bold letters. And you're supposed to know that "additional" property coverages means not additional coverages. It means they're slashing your property limits from the hundreds of thousands of dollars it would take to rebuild this house to just $10,000.

Walter and Judy sued.

Walter says he's learned that up to 15-percent of Safeco homeowner claims involve some type of mold or fungus, so their case could be huge for all policy holders.

Judy Moore:
They think they're buying insurance. What they're really buying is a false sense of security.

Safeco says that because of the Moore's ongoing litigation, they are unable to comment on the case.

Walter Moore:
This used to be what we called our Vegas suite.

Judy and Walter can't afford to move... and don't want to.

Judy Moore:
This house is special to me.

They just want their house back... the historic jewel with sweeping arches and gorgeous tiled fireplace.

Judy Moore:
It's more than a house. It's my home.

And that's something worth fighting for.