In purchasing life insurance, which of the following is considered an example of insurable interest?

In the context of life insurance, insurable interest is a fundamental principle that requires the policyholder to have a legitimate interest in the continued life of the insured. This concept ensures that life insurance is not used for speculative purposes but rather to provide financial protection for those who would suffer an economic loss upon the insured's death.

When insuring your own life for the benefit of your child, you possess a clear insurable interest. As a parent, you have a financial responsibility towards your child, which includes providing for their needs and ensuring their welfare. This relationship creates a valid basis for insuring your life, as your death could lead to significant financial hardship for the child. Therefore, the benefit of the life insurance policy directly supports the financial needs of the child, aligning with the concept of insurable interest.

Other options presented do not exhibit valid insurable interest as they either aim to profit from someone else's death or involve a lack of consent and knowledge from the insured individual, which is against insurance principles.