The basic purpose of insurance is to:
A) protect your health.
B) protect yourself from economic losses.
C) supplement your income.
D) shield you from bad decisions.
E) none of these

Question

Quizplus · Accepted Answer

The main purpose of insurance is to protect individuals from financial losses due to unforeseen events such as accidents, illnesses, and natural disasters. Insurance allows people to transfer the risk of these losses to the insurance company, in exchange for a premium payment. While insurance can sometimes be used to support health and income, its primary purpose is to protect against economic losses.

The Basic Purpose of Insurance Is To