In doing some research on property insurance fraud, an article appeared on
arson cases that were caused by distressed homeowners, which gives some
indication that large insurers are seeing a slight increase in
arson-for-insurance incidents that may be attributed to a large number of
foreclosures in recent years.
Times have changed for today’s insurance fraud
perpetrators. Advances in forensic
science have made it more difficult than ever avoid all detection. However, arson cases continue to
occur.
Most arson for profit schemes are the result of poor
decision making by people who are already under vast amounts of stress. If a homeowner experiences a sudden
drop in income, it can often be very difficult to face the reality that their
home may have to be given up.
Stressors of this type can easily lead to irrational behavior, including
arson.
Unfortunately, this outcome will have a dire outcome for the
perpetrator. Years of
incarceration, large fines and restitution orders are often associated with
arson cases, and the reality is arson perpetrators are rarely successful. Faking an accidental fire is very
difficult due to the science of forensics, and if a homeowner has missed
mortgage payments and is facing a foreclosure, investigators will recognize
these red flags right away and focus on arson, or an incendiary fire as the
likely causation.
