Canadian Accredited Insurance Broker (CAIB) One Practice Exam 2026 - Free CAIB Practice Questions and Study Guide

The term "no-fault insurance" signifies a system where insured parties can claim their own insurance benefits regardless of who is at fault in an accident. This type of insurance allows individuals involved in an accident to receive compensation for their injuries and damages from their own insurance provider without the need to establish fault or liability on the part of the other party. The primary goal of no-fault insurance is to streamline the claims process, reduce litigation costs, and provide timely medical care and support to those injured in an accident.

In jurisdictions with no-fault insurance, individuals generally forfeit their right to sue for damages except in specific circumstances, making it a unique approach to handling motor vehicle accidents. This system focuses on immediate assistance for insured parties and aims to lessen the adversarial nature of insurance claims such as those seen in traditional fault-based systems.