Good post Petra.

I didn't know that the mold problem was getting so out of hand. Couldn't they provide a decent insurance rate after the person pledges to keep the place real dry using dehumidifiers?

As far as I know, many basements have sump pumps which handle flooding during heavy storms. If this is a criteria for "water damage" or an environment for mold growth then it may not be too long before there's no insurance at all for this.