What does estate conservation provide for the insured's estate?

Estate conservation is a crucial aspect of financial planning that ensures the value of an estate is preserved and can be effectively passed on to heirs. The correct choice signifies that estate conservation provides funds to cover estate taxes or loans that may be due upon the insured's death. This is particularly important because the estate may face significant tax liabilities that must be settled before assets can be distributed to beneficiaries.

Having liquid funds available through life insurance ensures that these obligations can be met without forcing the sale of assets, which could diminish the estate's overall value. It prevents family members from facing financial hardships during an already challenging time, allowing them to retain the full benefit of their inheritance.

The other options, while they may address certain financial needs, do not specifically describe the primary function of estate conservation. They focus on varying aspects of financial needs or risks that might not directly address the potential tax liabilities or debts that an estate would require upon the death of the insured.