Law-and-ordinance home insurance helps cut through the red tape
Marcus Pickett
Imagine a tornado levels the home that's been in your family for generations. You have home insurance for situations like these, and you decide to rebuild. But laws have changed since your old home was first constructed. To rebuild, you'll have to comply with a slew of updated building codes and regulations. These upgrades can get expensive -- and your home insurance likely won't cover them.
A special type of coverage, called law and ordinance insurance, gives financial protection against higher repair and replacement costs that stem from updated building codes. Typical home insurance policies cover the costs of returning a property to its former condition after a disaster. If building codes have changed since your home was built, supplemental law-and-ordinance coverage can guard against unexpected out-of-pocket costs.
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