What is the essential purpose of Life Insurance?

A. It is tax rebates

B. It is a good investment

C. It is protection for loss of economic value of human life in the event of death or disability

D. It leads to wealth accumulation

Answer: Option C

Solution(By Examveda Team)

The essential purpose of Life Insurance is protection for loss of economic value of human life in the event of death or disability. The purpose of life insurance is to provide financial protection to surviving dependents after the death of an insured.