Nearly All Policies of Insurance Exclude Loss Caused Intentionally by the Insured

Multiple Choice

Nearly all policies of insurance exclude loss caused intentionally by the insured. This is necessary to meet which of the following requisites of an ideally insurable exposure?

A) to control the moral hazard
B) to control the morale hazard
C) the loss must not be subject to the catastrophic hazard
D) the loss must be definite and measurable