Which statement best describes the 'insured' in an insurance policy?

The statement that describes the 'insured' in an insurance policy as the individual or entity covered by the policy is accurate because the 'insured' is the party that receives protection under the insurance contract. This definition includes both individuals and organizations that are entitled to benefits or coverage in accordance with the terms of the policy.

The insured is primarily the one exposed to risk and stands to benefit from the insurance, as they are the ones for whom the policy is designed to provide financial protection against specified losses or damages. Therefore, they are central to the contract and its stipulations.