What is NOT considered a primary function of insurance?

The choice that indicates investing in capital markets is not considered a primary function of insurance is accurate because it highlights the primary objectives of insurance operations. The fundamental functions of insurance primarily revolve around risk management and assurance to policyholders.

Transferring risk involves the concept where individuals or businesses transfer their potential financial losses to an insurance company, thus reducing their exposure to unforeseen events. Spreading risk refers to the insurer's strategy of collecting premiums from many policyholders and using that pool of funds to pay out claims, thereby distributing the risk across a larger base. Providing a degree of certainty entails giving policyholders peace of mind by ensuring that they will be compensated for covered losses, thus creating financial predictability in the face of uncertainties.

In contrast, while investing in capital markets is a function that insurance companies engage in to manage their portfolios and generate additional income, it is not fundamental to the insurance process itself. Instead, this function supports the overall financial health and profitability of the insurer but does not represent the core purpose of insurance, which is fundamentally about risk management and protection.