Innocent Co-InsuredsUncategorizedMay 18, 2017An interesting story came up on CBC news regarding a Collingwood couple having a domestic dispute that led to arson. The husband started a fire on their bed and attempted to burn the house down. The wife managed to save her dog and cellphone, but virtually all of her other belongings were consumed in the flames. The husband was subsequently arrested, charged with arson, and sentenced to two years in prison. As for his wife, despite being a victim of arson, was denied her claim. The company says her homeowner policy became “null and void” because her husband as an insured under the policy had intentionally started the fire. Provinces such as BC and Alberta have laws that compel insurance companies to pay out claims to what are called “innocent co-insureds.” Saskatchewan anticipates it will have an amendment to its insurance act in effect by 2018, but in Ontario and the Atlantic provinces there is no legislation that compels insurance companies to do so, insurance companies can deny a claim the cause of loss was “intentional or criminal” actions of an insured person on the policy. As an insurance intermediary, brokers advocate on behalf of their customers. The Insurance Brokers Association of Ontario is speaking out on this issue and supporting a bill which may protect innocent co-insured’s from situations such as this in the future. Unfortunately these incidents do happen, however it reiterates the importance of knowing your specific coverages and having an insurance broker who is there to help you. There is nothing worst than submitting a claim only to receive nothing in return when you though you were covered. It is not only costly, but during this emotional time can make a bad situation worse. Having an insurance broker on your side can mean all the difference. You can find our more today by speaking to one of our Broker Representatives at (416) 494-1268.