What is one of the main objectives of life insurance?

One of the main objectives of life insurance is to ensure financial security for dependents after the insured's death. Life insurance policies are designed to provide a benefits payout to beneficiaries in the event of the policyholder's passing. This financial support helps dependents maintain their standard of living, cover essential expenses, and settle any outstanding debts or obligations left by the deceased.

The focus on providing financial protection for loved ones is central to the purpose of life insurance, as it aims to alleviate the economic burden that can arise from the loss of an income earner. This feature makes life insurance a vital part of financial planning for individuals with dependents.