Would you chuck out a renter for having 100 regular indoor plants under the "moisture" headline?

Also, be very careful in reading the language of the fine prints in the coverage and exceptions.I am in Florida and I know my policy does not cover the "repair" of pipe leaks but does cover damages caused by sudden and unexpected leaks.So if a leak happens underground below your slab, the cost to remove the tiles/carpet/wood flooring, breaking up the slab, tearing up the baseboard, excavating to the location of breakage, are all covered, then the actual repair, which might be a $300 simple job, NOT covered, then to lay down a bed of gravel, refill, compaction, termicide application, moisture barrier, repour concrete and reinforcement, new flooring, new baseboards, painting etc...are again covered.

He said that its more vulnerable to moisture and will buckle at the doorway.

I still don't think underlayment matters much except maybe over concrete because of moisture and I'll put tile over plywood all day long unless it feels bouncy then chances are it will crack without more plywood.My thought is it says I can put it over plywood on the bag of modified thinset so if the floor is solid then why spend the extra time and money on cement board if I'm using 0.49/sqft tile anyway and doing it myself

Drywall everything above that with a no mold ,water resistant sheetrock and paint it with a couple good coats or three of good enamel paint to keep moisture away.Best part of a demo to the studs is you can replace wiring,drain plumbing ect as well as upgrade to a modern light/vent that is ducted all the way outside and insulated to prevent condense inside.

With a slab foundation is there a worry about moisture wicking up?

Those $20 pin-style moisture meters at the big box stores are darn handy. 

Actually, the inspector is only doing his job and is upholding the code, he is also trying to get the flashing in so moisture or water will not penetrate your building and/or wood under your stucco.

I do have an alarm installed on it, my boyfriend and I tested it by exposing it to water and it is plenty loud and lasts for 40 hours with a constant beep until you remove it from the moisture.

Let it sit for 4-5 days to check and see if you're getting moisture through the floor (there will be water under the plastic you can see).