What is the primary purpose of the Insurance Act regarding ethical conduct?

The primary purpose of the Insurance Act is to ensure fairness, transparency, and accountability in the insurance industry. The Act was established to regulate the practices within the insurance sector, creating a framework that promotes ethical conduct among insurance providers and professionals. This involves setting standards that protect consumers, ensuring that they receive clear and truthful information about insurance products, and that insurers are held accountable for their actions.

By prioritizing fairness, the Act helps to level the playing field between providers and consumers, ensuring that policyholders have access to reliable information and services without undue manipulation or exploitation. Transparency is critical as it allows consumers to understand the terms of their insurance agreements and know what to expect.

In contrast, the other options do not align with the core objectives of the Insurance Act. The Act does not emphasize maximizing profits for insurance companies, nor does it aim to limit the number of providers, which could reduce competition and consumer choice. Additionally, it is not designed to solely protect the interests of insurance professionals, but rather to serve the broader interests of the public and maintain trust in the insurance system.