A Canadian man has been ordered to reimburse a fire department after setting his car on fire to claim from insurance, it has been revealed.

Thomas James Fergusson had told his car insurance firm that his Ford Focus, worth $4,600 had been stolen and set alight.

Weeks later, after investigators believed Fergusson was suspicious, he had pleaded guilty to staging the whole thing in order to receive payment through the insurance firm.

He was then ordered to pay $960 to Chilliwack Fire Department for their time and resources.

Steven Tripp, manager of ICBC’s special investigation unit, said "We believe it's one of the first times an ICBC customer has been ordered to pay restitution to emergency crews…It's a unique penalty and one tailor made for the offence."

According to Tripp, ICBC would have paid out the damages had they failed to have discovered the claim had been fraudulent.

"We're committed to protecting our customers from fraudulent acts and those whose false claims threaten our low and stable rates," he added.