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What effect does malicious arson by vandals or thieves have on homeowners insurance policy in Australia?



My friends house was burgled and the thieves set the house on fire ,presumedly to destroy any evidence .Is her homeowner's insurance policy which has insurance for burglary and fire still valid or can the insurance company refuse to pay?

As long as she didn't hire them to set the house on fire, it should still pay. Regardless, if she DID hire them to set the house on fire, the mortgagee should be paid up to their interest.
well if her insurance policy is paid up and covers criminal damage then there is no 'wiggle' room for the company to get out of paying.
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