My brother in law set the house on fire. My sister is left homeless, with no clothes or money.The insurance claims they won’t pay out on an arson. Is she just out of luck She wasn’t home and had no idea he was so unstable.
The house is free and clear, The husband disappeared into the wind. She is left to deal with all of this. No home, no clothes, no money, and no help from the insurance. Plus the clean up of the property. She is 62 and poor, How are you suppose to do this.
You need to speak with an attorney in your area. I have seen similar situation where the innocent party is able to recover from the loss. It is similar to the fact that if there was a mortgage on the property and they were an additional named insured, they would have recourse even if the cause of loss was arson from the homeowner. This is a complex issue and I would expect that it is a large loss, therefore I do highly recommend you speak with a qualified attorney that practices in this field.
If your brother-in-law was a listed insured on the policy, I am afraid you have a very difficult road ahead. You cannot burn down your own building and expect the insurance company to honor the claim. As with anything this complex, you might want legal assistance. While arson is covered, self-inflicted arson is not.