CAIB One Practice Exam 2026 – Complete Guide for Canadian Insurance Broker Test

Negligence, commonly classified as an unintentional tort, is typically insurable because it arises from a failure to take reasonable care, resulting in harm or injury to another party. Insurance policies are designed to cover financial losses that arise from such unintended actions, allowing individuals and businesses to protect themselves from potential claims.

In contrast, intentional torts, which involve deliberate actions causing harm (such as assault or theft), are generally not insurable due to the nature of the actions being willfully harmful. Civil torts encompass a broad range of wrongful acts, including both intentional and unintentional acts, but not all civil torts are insurable. Therefore, the focus on negligence as an unintentional tort makes it the most aligned with the concepts found in insurance coverage, thus making it the correct answer.