Ordinance and Law Building Code Compliance Requirements
HOA insurance policy language is typically written to reconstruct your damaged building based on the way the building was constructed prior to the loss. However, the local Building Department and Fire Department control approval of the construction process so after a large fire they may require you to start fresh by demolishing and rebuilding the undamaged portion of the building (Coverage A and B) if it is in danger of collapse or they may require you to bring the entire building in to current Building Code Compliance (even the undamaged portion).
Ordinance and Law Coverage A
If the Building Department determines that your damaged unit or building is in danger of collapse they may require that the entire building be demolished, including the undamaged portion of the building. Coverage A will pay to reconstruct the undamaged portion of the building that was required to be torn down.
Ordinance and Law Coverage B
Coverage B pays for the cost of Demolition and Debris Haul-Away.
Ordinance and Law Coverage C
Coverage C pays the cost of meeting new Building Code Changes that have been implemented after original construction was completed. The Building Inspection and Fire Department may require that the individual damaged unit and the building be updated to meet current building codes which may include installation of fire sprinklers, emergency strobe lights, elevators, annunciator systems, handicap access, new balcony and stair railings, hard-wired smoke and carbon monoxide sensors, plumbing, electrical and earthquake seismic updates.
