One
of the most needed types of insurance coverage by many consumers is also
one of the most commonly
overlooked, or even known about. It's called
Ordinance or Law Coverage. As your home becomes older certain
changes in your county's building codes and ordinance change to reflect
new standards for home construction. If your older property suffers
a substantial loss, fixing it may require a higher construction standard
to reflect new laws, therefore simply replacing your home as it was
just isn't good enough to meet these new laws and codes.
Let's say, for example, your home was built in 1972
and the building code called for your home to be built 5 feet off the
ground, and in 1993 the building ordinance was upgraded to call for
the same building to be 10 feet above the ground following a minor flood
a few years earlier. Complying with this code requires a change in design
and building materials, and will incur substantial additional costs
for labor and materials.
As this occurs the cost of replacing your dwelling
is greatly increased. If these new laws are not met during re-construction
the codes inspector must stop construction and name the dwelling as
uninhabitable until such time as these building standards are properly
met. If your insurance doesn't cover this increase in government
standards then you risk being in a "catch 22" situation where
you will have to pay for these upgrades before completing the repairs
and resuming residence.
As your independent agent we may offer many types of
policies from many different insurers. Although the companies
we represent have different ways of offering coverage for ordinance
or law based upon costs and inclusions, you need to be aware of your
policy's specific protection value. Please review your policy
to find out exactly what it offers for ordinance or law coverage, or
contact us to help in your personal policy review.
Learn More...
Overview
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Glossary
Please Note: The
information contained in this Web site is provided solely as a source of
general information and resource. It is a not a statement of
contract and coverage may not apply in all areas or circumstances. For a complete
description of coverages, always read the insurance policy, including
all endorsements.
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