Final answer:
The requirement that must be met before a risk becomes insurable, which does NOT include predictability, are being fortuitous, identifiable, and measurable. Predictability is not required, and if events are too predictable, they may not be insurable.
Step-by-step explanation:
Not all losses are insurable due to imperfect information and other factors. Some requirements must be met before a risk is insurable. These requirements, as per the question, include being fortuitous (occurring by chance), identifiable (specific events or losses that can be recognized), and measurable (losses that can be quantified in terms of money).
However, predictability is not a requirement for insurability. In fact, if a loss is too predictable, it may not be an insurable risk because part of the concept of insurance is to protect against uncertain and unforeseen events.
For example, a person is unable to insure against deliberate actions they take that guarantee a loss since insurance is meant to cover fortuitous events. Likewise, unquantifiable or immeasurable risks and those that cannot be clearly identified are not suitable for insurance.
Insurance is fundamentally a way to share the risks of unpredictable events. When people in a group pay premiums, those who face an adverse event receive compensation in a manner that aligns with the sharing of risk and with actuarial fairness.