How is an estranged spouse's arson likely to be treated by the Financial Ombudsman?

In cases involving the actions of an estranged spouse, particularly in instances of arson, the Financial Ombudsman is likely to take into account the principle of protecting the innocent party, typically the policyholder. If an estranged spouse intentionally sets fire to property, it is usually seen as a deliberate act that undermines any insurance claim related to those damages.

The Financial Ombudsman may determine that, regardless of the marital relationship, the innocent party (the person who did not commit the act of arson) should be compensated for their loss. This is grounded in the need to ensure that those who have been wronged, especially when they are not involved in the wrongdoing, receive justice and financial support. The rationale is to ensure that victims of domestic situations, such as estrangement, are not penalized financially for the malicious actions of their spouse.

While it is true that other options may have merit in different contexts, the emphasis here is on compensation for the innocent party, aligning with the principles of fairness and justice that the Financial Ombudsman seeks to uphold. Options like denying the claim altogether or splitting it do not adequately address the victim's need for recovery from a loss they did not cause. Redirecting the claim to the police is more about legal action