Should an insurance company have to pay for fire damage if fire codes are not met?

[hydrashine]

I am sure we have all seen places that have not been cleaned in two years. They don't have grease containment on the roof, they have missing filters, fire suppresion tags are not current, they don't have enough access to the systems, the list could go on and on. My question is if all of these items are not met that are listed in a fire code,does the insurance company have to pay for fire damage as a result of one or more of these items that are missing? And should we as an industry approach the insurance companies with this issue?
I am sure they will listen if they think they may not have to pay money on a claim. LOL

 

[dodsonish]

I don't think they should have to pay, and I'm sure they don't if its proven that it was preventable. Would your homeowners insurance cover an explosion caused by storing gas cans in your oven?

Knowing that gas explodes, you would probably avoid storing gas in the oven.

If the insurance companies knew of the fire hazzards, then I'm sure they would require them to be removed or dealt with. So I say preach on, tell every insurance company that will listen.

"There's grease in them thar ducts"

 

[RJTravel]

They must pay for first-party fire loss - period. The only escape is fraud - and even then it does not affect the loss payable provisions running to the lender. In respect to the homeowners policy, the gasoline storage could possibly be brought under the 'increase in hazards' stipulation - but there is slim hope of that. I spent in excess of 30 years dealing with contracts and legal issues, and never once did I see any carrier successfully win with that weasel clause. It just doesn't happen. In addition, most states embrace some form of non-cancel during the policy period. They can, however, non-renew a policy. They all have safety engineers who are supposed to monitor and report concerns in order to ensure renewal. If they really did their job we would have compliance. This is where our industry should focus - request the carriers to inspect premises and produce certificates of compliance in respect to maintenance. That in itself would solve most of this problem.
Richard