The main purpose of insurance is to
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Correct Answer: Option D
Explanation:
Insurance spreads the financial effect of losses among a large number of people who are covered under similar insurance arrangements. Policyholders pay premiums into a common pool, from which compensation can be paid to those who suffer insured losses.
Insurance spreads the financial effect of losses among a large number of people who are covered under similar insurance arrangements. Policyholders pay premiums into a common pool, from which compensation can be paid to those who suffer insured losses.