INSURED RISK: Secondary residence

QUANTUM : 300 000 $

THE FACTS / THE INQUIRY:

nvestigation revealed that the insured was planning his retirement but that his plan was unrealistic:

• high mortgage balances still burdening his two residences,
• major renovation work to be undertaken on the damaged building,
• unsuccessful attempts to sell the main house.

Our careful analysis and investigation uncovered significant inconsistencies and misrepresentation that the insured was not where he claimed to be in the relevant time segment.

Considering also the presence of accelerant in the sector of origin and the absence of any trace of break-in, the doubts as to his direct involvement in the outbreak of this fire were sufficiently serious, precise and consistent for the insurer to reject the claim.

THE RESULTS:

The evidence is so firmly established that it allowed the insurer not only to raise the inadmissibility of the loss, but also to obtain reimbursement by the insured for the amount of the mortgage debt paid to the creditor.