Well the problem with this and any other issue of god interveneing is you are faced with two chioces, you could have a god that controlled and protected that prevented all harmfull acts, everyone would be safe and would live a long time but as a consequance you would be being constantly audited and edited. imagine an over protective parent, it would be intollerable to force such rules on those who do not wish them even if it was for altruistic purposes (just think what has happened when the church has wrongly tried this).
God could compleately abandon us, we would have compleate free will, but at the price of not even knowing our creator or our purpose, and without the guidance that such a powerful force could provide.
In the end its probably a bit of a compramise god makes himself known but not so much that people who do not want to follow him can't, or so little that those who wish to don't know how to follow him. In a model like this Hell would merely be a life without god for all those who reject him, basicly giving them what they wanted.
Again Imagining god as a parent, would you want to live with them your whole life? no, you would want fundamental independance even if it is only the inderpendance to get things wrong on your own. It is the same with god god does not want to force us and over protectiveness is a form of controlling.
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