Florida Insurance Claims Adjuster License Practice Exam

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What does Building Ordinance Coverage endorse?

Demolition of damaged buildings only
Construction of new buildings
Enforcement of laws requiring demolition of undamaged portions of buildings
Coverage for interiors of the building

The correct answer is: Enforcement of laws requiring demolition of undamaged portions of buildings

Building Ordinance Coverage is an endorsement to an insurance policy that provides additional protection for costs associated with the enforcement of laws related to a damaged building. Option A and B are incorrect because they only cover either the demolition or construction of buildings, but not the enforcement of laws. Option D also does not fit because it only covers the interior of the building, not any laws related to damaged structures.