An owner of an older home buys increased ordinance or law coverage because the built-in additional coverage:

Explanation

The standard form includes ordinance or law as an additional coverage of ten percent of Coverage A, which pays the increased cost of repairing or rebuilding to current codes, plus demolition and the cost of tearing down undamaged parts. On an older home that percentage is often far too small, so the endorsement raises it. Demolition is inside the additional coverage, not left out of it.