How is a fire that is intentionally set and remains within its intended limits categorized?

When a fire is intentionally set and remains within its intended limits, it is categorized as a "friendly fire." This term typically refers to a fire that is deliberately ignited for a specific purpose, such as a controlled burn or for heating, and does not spread beyond the area intended by the person who set it. In standard insurance contexts, friendly fires may not be covered by property insurance policies because they do not present the same risks as wildfires or accidental fires that cause damage beyond their intended area.

Given that friendly fires do not cause unintended damage, many insurers will not cover any losses associated with them, which is aligned with the answer that the fire is not covered. This reflects an understanding of how insurance treats different types of risks, particularly those that are intentionally set versus those that arise accidentally.