Does my insurance policy include ordinance and law coverage?

Most commercial property policies include some form of ordinance and law coverage, either as a standard inclusion or an endorsement. Many homeowner policies also include it. The coverage limits, sublimits, and specific provisions vary by policy. We review your policy to identify exactly what coverage is available and ensure it is fully utilized.

How much additional money can ordinance and law coverage provide?

The additional recovery depends on the age of the building, the extent of damage, and the gap between original construction and current codes. On commercial properties, ordinance and law recovery can range from $20,000 to $500,000 or more. For older buildings requiring significant upgrades—electrical, plumbing, HVAC, ADA, fire suppression—the amounts can be substantial.

My insurance adjuster didn't mention code upgrade costs. Is that normal?

Unfortunately, yes. Insurance company adjusters frequently omit code upgrade costs from their estimates—either because they don't research local building code requirements or because including those costs increases the payout. This is one of the most common reasons commercial and residential claims are significantly underpaid.

Does ordinance and law coverage apply to roof replacements?

Yes. When a roof replacement is triggered by covered damage, current building codes may require upgraded insulation, improved drainage, enhanced wind resistance ratings, and fire-rating compliance that weren't required when the original roof was installed. These additional costs should be covered under your ordinance and law provision.

Can you help if my ordinance and law claim was already denied?

Yes. We review denied ordinance and law claims, identify the specific code requirements that trigger coverage, document the cost differential, and challenge the denial through supplemental documentation, negotiation, or appraisal. Many denials are based on the carrier's failure to properly assess code requirements.

Ordinance & Law Insurance Claims

Maximizing recovery for building code upgrade costs, demolition expenses, and increased cost of construction after covered property damage

10+

Years Experience

$100M+

Claims Recovered

5,000+

Claims Handled

Licensed

Bonded & Insured

What Is Ordinance and Law Coverage?

Ordinance and law coverage is one of the most valuable—and most overlooked—provisions in commercial and residential property insurance policies. When covered damage to a building triggers the need for repairs or reconstruction, current building codes often require upgrades that go far beyond simply restoring the structure to its pre-loss condition. These code-mandated improvements can add tens or hundreds of thousands of dollars to the cost of rebuilding, and standard property coverage alone does not pay for them.

Ordinance and law coverage fills this gap. It typically provides three distinct coverages: Coverage A pays for the loss in value of the undamaged portion of a building when a local ordinance requires demolition of the entire structure. Coverage B pays for the cost of demolishing the undamaged portion. Coverage C pays for the increased cost of construction necessary to comply with current building codes during rebuilding.

Insurance companies rarely volunteer to pay ordinance and law benefits. Many adjusters either don't understand the coverage, don't identify the code upgrade requirements, or intentionally omit these costs from their estimates. As licensed public adjusters, we identify every applicable code upgrade, document the cost differential, and ensure your ordinance and law coverage is fully utilized.

The Three Parts of Ordinance & Law Coverage

Coverage A — Loss to the Undamaged Portion

When a local building code or ordinance requires demolition of the entire building—even though only a portion was damaged—Coverage A compensates you for the value of the undamaged portion that must be torn down. This is most common in older buildings where damage exceeds a percentage threshold (often 50%) that triggers a mandatory tear-down requirement.

Coverage B — Demolition Cost

Coverage B pays for the actual cost of demolishing the undamaged portion of the building, including debris removal, hazardous material abatement (asbestos, lead paint), site clearance, and disposal fees. These costs are separate from the standard debris removal coverage in your base policy and can be substantial for larger commercial structures.

Coverage C — Increased Cost of Construction

Coverage C is the most commonly triggered and most frequently underpaid. It pays for the additional cost of rebuilding to comply with current building codes that weren't in effect when the building was originally constructed. This includes upgraded electrical systems, plumbing, HVAC, fire suppression, ADA compliance, energy efficiency requirements, structural reinforcement, and roof insulation standards.

Common Code Upgrades We Recover

Building Systems

• Electrical panel and wiring upgrades
• Plumbing system modernization
• HVAC efficiency requirements
• Fire suppression / sprinkler systems
• Structural reinforcement

Compliance & Access

• ADA accessibility modifications
• Energy code / insulation upgrades
• Wind resistance standards
• Seismic retrofit requirements
• Egress and safety improvements

Why Insurance Companies Underpay Ordinance & Law Claims

•Failure to identify triggers: Adjusters don't research local building codes to determine which upgrades are required
•Omission from estimates: Code upgrade costs are simply left out of the carrier's damage estimate
•Coverage denial: Carriers claim the code upgrades aren't triggered by the covered damage
•Sublimit application: Insurers apply unnecessarily low sublimits when the policy provides broader coverage
•Association complexes: Multi-building properties have code triggers across every structure, but insurers only assess one

Who Needs Ordinance & Law Claim Help?

Ordinance and law coverage applies to both commercial and residential properties, but the impact is greatest on older buildings, commercial structures, multi-family properties, and condominium associations where the gap between original construction standards and current codes is widest. If your building was constructed more than 15–20 years ago and has sustained significant covered damage, there is a strong likelihood that code upgrades will be required during reconstruction—and that your insurance company will attempt to exclude those costs.

We represent property owners, landlords, condominium associations, HOAs, commercial tenants, and business owners in ordinance and law claims. Whether you need to recover the cost of a mandatory sprinkler system installation, ADA-compliant restroom upgrades, or a full roof insulation upgrade required by current energy codes, we ensure your policy's ordinance and law coverage is fully activated.

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What Our Clients Say

"Corbitt absolutely rocks. No hype. If they say the insurance company is wrong, trust them. A huge tree had fallen on our home and our detached garage, fences broken at multiple posts, interior and structural damage. Our settlement went the distance — appraisers, an umpire, and some shady behavior from our insurance company. In the end, Corbitt delivered a great settlement that will actually allow us to make the needed repairs. Katie was fantastic all the way. Outstanding job all around."

Michael J.

"After our insurance company denied our claim we were referred to Miles Corbitt Public Adjusting by a contractor who was giving us a quote and heard our story. This was a game changer. It took a year of back and forth, but we eventually won and were awarded more than initially discussed. Repair work is finally in progress and we couldn't be happier!"

Lucy M.

"Corbitt is a reputable and efficient firm. From the very first call everything went as they said. Professional and fair. I couldn't be more happy. Insurance was not going to pay and Corbitt fought on my behalf. Katy is amazing. She answered every email promptly and professionally. Thank you!"

Marinella N.

Related Resources

📖 Supplemental Claims Guide 📖 When to Hire a Public Adjuster

Don't Settle for Less Than You Deserve

If your home or business has suffered damage, our team is here to guide you through every step of the insurance claims process. No matter the extent of the loss or the complexity involved, we work diligently on your behalf to secure a fair, timely, and fully supported resolution. From start to finish, we manage the entire claims process for you—ensuring you receive the full compensation your policy provides.

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