Does Homeowners Insurance Cover Asbestos?

Even though exposure to asbestos can be a major health risk, most homeowners insurance doesn't cover the removal of it. Policies exclude pollution, which generally prevents reimbursement for cleaning up pollutants like asbestos. The only possible exception is if the asbestos in your home is exposed as a result of a covered peril like wind damage. But even then, you are not guaranteed to be covered.

Why isn't asbestos inspection and removal covered by insurance?

Asbestos usually isn't covered under homeowners insurance, even if you have open-perils HO-3 coverage. For one, almost all policies exclude pollution, including fuel and chemical spills, as well as asbestos.

The other reason is that covering it would be very expensive for insurance companies, meaning a substantial rate increase for homeowners.

Asbestos can be found in most homes built before the 1980s. Cleaning it up requires a lot of specialized equipment and training … and money. But asbestos is typically only dangerous if you inhale it, so if it's safely sealed away inside your walls, it likely doesn't pose a health risk.

When homeowners insurance might cover asbestos removal

There is one situation where your homeowners insurance policy might help pay to remove asbestos. If your home is damaged by a covered peril, your dwelling policy may pay the entire repair cost, including safely removing and cleaning up the asbestos. You would include the cost as part of your overall damage claim.

What is asbestos? When is it dangerous?

Because asbestos is a naturally occurring, highly temperature- and fire-resistant mineral, it was added to things like home insulation, ceiling tiles and flooring materials. In the 1970s and 1980s, it was discovered that inhaling asbestos dust over a long period of time could cause cancer and other life-threatening diseases.

Asbestos was used in many homes in the United States until its carcinogenic properties were discovered. If your home was built before the 1980s, it likely contains asbestos in some form. Fortunately, asbestos is usually only dangerous if you breathe in the actual fibers, which are released when the material is damaged or decayed. And in most cases, you have to inhale the dust for months or years to suffer negative effects. If the asbestos in your home is sealed, such as in the insulation inside your walls, you're not very likely to get sick.

Even if asbestos is directly in your living space, such as in your ceiling tiles, you may not need to remove it immediately. In this case, the particles are trapped within the tiles, so they won't harm you unless the tile is damaged. However, you should avoid any activity that would release the particles, such as cutting or drilling into the material, without proper precautions — particularly when remodeling your home or if the material is ever damaged. Call a professional to inspect your home if you are concerned about possible contamination.

Where could I have asbestos in my home?

Until its health dangers were discovered, asbestos's insulating properties meant that it was used in many places throughout homes, especially where insulation or temperature regulation is important. However, it's not likely you have asbestos in any part of your home that was built after the 1980s, as the material was phased out during that time.

Possible locations of asbestos in your home include:

Unfortunately, it's not possible to identify on your own whether your home contains asbestos. If you're concerned, you'll have to contact a professional for an inspection.

Cost of removing asbestos

Unlike other home repairs, which you may be able to do yourself for a lower cost, you should not try to remove asbestos. In fact, removing asbestos without training will very likely add more contaminants to your home than simply leaving the asbestos in place. Professionals who deal with asbestos removal are trained to minimize contamination and prevent spreading asbestos dust in your home. They will also clean the area.