The Insurance Regulatory and Development Authority of India (IRDAI) has recently announced relaxation of norms for surety bonds. _________ is the purpose of surety bond in the context of insurance ?

(a) To protect the parties from possible financial loss due to natural calamities

(b) Providing coverage for personal property and belongings

(c) Managing the risks associated with breach or non-performance of the contract

(d) Providing health insurance coverage to individuals and families

Ans.(c)

Sol. Surety bonds serve as an insurance policy that protects parties involved in transactions or contracts from potential financial losses resulting from breaches of contract or non-performance.