What does a death benefit in a life insurance policy ensure?

A death benefit in a life insurance policy is designed to provide financial support to the beneficiaries of the policyholder upon their death. This sum of money is typically intended to help cover living expenses, debt obligations, or other financial needs that may arise after the policyholder's passing. It ensures that loved ones are financially protected and have some means to manage their affairs during a difficult time.

Other options in the question pertain to different aspects of insurance. Coverage for critical illnesses focuses on specific health-related conditions rather than providing a lump sum benefit following death. A refund of premiums paid is not linked to the purpose of a death benefit, as it addresses the return of money rather than providing support to beneficiaries. Long-term care benefits relate to assistance with daily activities for those who are chronically ill or disabled, again diverging from the primary function of a death benefit, which is specifically tied to the aftermath of the policyholder's death.