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THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. Form SP 30 11 12 19 Page 1 of 3 © 2019, The Hartford (May include copyrighted material of Insurance Services Office, Inc., with its permission) ORDINANCE OR LAW COVERAGE This endorsement modifies insurance provided under the following: SPECIAL PROPERTY COVERAGE FORM Except as otherwise stated in this endorsement, the terms and conditions of the Policy apply. The following is added to Paragraph A.6.,Coverage Extension, of the Special Property Coverage Form: Ordinance or Law (1)Application of Coverage The coverage(s)provided by this Coverage Extension applies only if both (1)(a)and (1)(b)are satisfied and are then subject to the qualifications set forth in (1)(c). (a)The ordinance or law: (i)Regulates the demolition,construction,or repair of Buildings or “tenant improvements and betterments”, or establishes zoning or land use requirements at the “scheduled premises”; and (ii)Is in force at the time of loss. But coverage under this Coverage Extension applies only in response to the minimum requirements of the ordinance or law.Losses and costs incurred in complying with recommended actions or standards that exceed actual requirements are not covered under this endorsement. (b)The Building or “tenant improvements and betterments” sustain direct physical damage: (i)That is covered under this Policy and as a result of such damage,you are required to comply with the ordinance or law; or (ii)That is both covered under this Policy and direct physical damage that is not covered under this Policy,and as a result of the Building or “tenant improvements and betterments”damage in its entirety, you are required to comply with the ordinance or law. (iii)But if the damage is not covered under this Policy,and such damage is the subject of the ordinance or law,then there is no coverage under this Coverage Extension even if the Building or “tenant improvements and betterments” have also sustained covered direct physical damage. (c)In the situation described in (1)(b)(ii)above,we will not pay the full amount of loss otherwise payable under the coverages described in (2)below.Instead,we will pay a proportion of such loss,meaning the proportion that the covered direct physical damage bears to the total direct physical damage. (Paragraph (6) of this Coverage Extension provides an example of this procedure) However,if the covered direct physical damage alone would have resulted in a requirement to comply with the ordinance or law,then we will pay the full amount of loss otherwise payable under the terms of the coverages described in (2)below. (2)Coverage (a)Undamaged Part With respect to the Building or “tenant improvements and betterments”that have sustained direct physical damage,we will pay for the loss in value of the undamaged portion of the Building or “tenant improvements and betterments”as a consequence of a requirement to comply with an ordinance or law that requires demolition of undamaged parts of the same Building or “tenant improvements and betterments”. (b)Demolition Cost and Increased Cost of Construction (i)Demolition Cost With respect to the Building or “tenant improvements and betterments”that have sustained covered direct physical damage,we will pay the cost to demolish and clear the site of undamaged parts of the same Building or “tenant improvements and betterments”,as a consequence of a Docusign Envelope ID: 9DF92A24-B534-85BA-8088-342315DF1839