Ordinance and law coverage is a policy provision that pays for the additional cost of rebuilding to current building codes when the code requires more than what the original property had. Sometimes called “Ordinance or Law,” “Building Ordinance,” or “Code Upgrade coverage.” It exists specifically because a standard property policy pays to restore what was there — not to bring what was there up to a newer, stricter standard.
On a roof claim, the code items this coverage typically pays for aren’t optional homeowner upgrades; they’re work the local jurisdiction requires as a condition of permitting or inspecting the re-roof. Whether your policy pays for that work depends entirely on whether it carries ordinance and law coverage and at what limit — this post can’t tell you what your policy has, only what to look for.
The Underlying Mechanic
A homeowners policy without ordinance and law coverage owes the cost to restore the roof to its pre-loss condition — the same shingles, the same underlayment, the same flashing, done to the same standards the original roof was built to. If the local jurisdiction has adopted a newer building code since the original roof was installed, and that newer code requires more than what was there — a wider ice-and-water shield, a specific fastener pattern, upgraded ventilation, additional deck-fastening at the eaves — the additional cost of meeting the current code is what ordinance and law coverage is meant to pay for.
Without the coverage, the insurer’s obligation stops at like-for-like restoration. The code-required extras are the homeowner’s responsibility, even though the jurisdiction won’t permit or approve the re-roof without them.
Why an Estimate May Exclude Code Items
If your adjuster’s estimate doesn’t include the ice-and-water shield your jurisdiction now requires, or the deck-fastening upgrade for high-wind zones, one of three things is happening:
- Your policy doesn’t include ordinance and law coverage. The estimate excludes the code items because the policy doesn’t cover them, not because the adjuster missed them.
- Your policy includes ordinance and law coverage but with a limit lower than the code items would cost, and the estimate reflects only what’s within the limit.
- The adjuster genuinely overlooked a code requirement, and a supplement with jurisdiction documentation would add it back in.
Only situation 3 is fixable through a supplement in the usual sense. Situations 1 and 2 are policy-limit questions, not scope questions — the underlying issue is what your policy carries, not what the adjuster included. See How to Request a Supplement on Your Roof Claim for when a supplement is the right tool, and when it isn’t.
The reading-your-adjuster-estimate guide briefly covers where code items appear (or don’t) on an estimate. This post covers the coverage question that sits behind that appearance.
What Ordinance and Law Coverage Typically Pays For on a Roof
The specific items your policy will pay for under ordinance and law coverage depend on your local code and on the specific limits and inclusions of the endorsement. On roofs, code-driven items that commonly come up:
- Ice-and-water shield in specific zones (eaves, valleys, penetrations) where the local code requires more coverage than the original roof had
- Upgraded fastener patterns in high-wind zones
- Deck fastening or nailing patterns that meet current wind uplift requirements
- Ventilation upgrades to meet current attic ventilation code
- Drip edge where the current code requires it and the original roof didn’t have it
- Additional flashing at penetrations where current code exceeds the original method
- Permit fees themselves — some policies bundle these under ordinance and law, some don’t
None of these items are universally covered under ordinance and law; whether each one is depends on whether the code actually requires it in your jurisdiction and whether your specific endorsement includes it. Contact your local building department to confirm what the current code requires for a re-roof of your material and pitch — the department’s own documentation is what an adjuster or supplement reviewer will actually work from.
Limit Structures
Ordinance and law coverage is not unlimited. It’s typically expressed as either:
- A percentage of your Coverage A (dwelling) limit — a set fraction of the dwelling coverage available for code-driven costs
- A specific dollar amount listed as an endorsement limit
- Included coverage with a stated sub-limit — folded into the dwelling coverage but capped at a specific amount for code items
If your policy has ordinance and law coverage and the code items on your roof would exceed the limit, the excess is out of pocket — the coverage doesn’t extend beyond the stated limit no matter what the code requires. Before assuming your policy covers all code items, check the limit on the endorsement page.
The specific limit on your policy is on your declarations page or on the attached endorsement schedule. How to Read Your Declarations Page covers where the endorsement schedule lives; the specific ordinance and law limit is usually labeled on that schedule by form number.
Before Contesting a Code Exclusion, Know What Your Policy Says
If your estimate doesn’t include a code-required item and you want to push back, the first question is not “how do I get this added” but “does my policy cover it at all.” Reading the endorsement schedule to confirm whether ordinance and law coverage is included, and at what limit, is the check that comes before any supplement request. A supplement asking for code coverage that the policy doesn’t have won’t succeed — the answer is “not covered by your policy,” and no supplement changes that.
Before you spend the effort, know what the underlying claim math otherwise supports. See what a full-payout scenario would look like for your roof’s age, material, and deductible, and how much a code-upgrade supplement would move the number — on some claims, the code-item amount is small relative to depreciation and the deductible already applied, and the effort of documenting the code case may not be justified.
State Variation
Some states regulate how ordinance and law coverage must be offered or disclosed — either requiring insurers to offer a certain minimum, or requiring specific disclosure to the policyholder that a certain limit applies. Whether such a rule exists in your state is state-specific, and if you’re wondering whether your policy should have more coverage than it does, check the state pages for the rules that apply where you live.
When the “Not Covered” Answer Is Correct
If your policy doesn’t include ordinance and law coverage at all, or the limit is exhausted by the code items, the insurer’s exclusion of the balance from the payment isn’t a mistake — it’s the policy paying what the policy covers. The path forward in that situation isn’t a supplement; it’s either paying the code items out of pocket, or (for future claims) adding or increasing the endorsement at your next renewal.
Older policies, and policies in jurisdictions without frequent code changes, sometimes lack ordinance and law coverage entirely, and the homeowner discovers this at claim time. That’s a coverage gap for future decisions, not an underpayment on the current claim.
