Final answer:
The main purpose of the spendthrift clause in a settlement option is to protect the beneficiary from mismanaging or quickly spending the funds received through the settlement.
Step-by-step explanation:
The main purpose of the spendthrift clause contained in a settlement option is to protect the beneficiary from mismanaging or quickly spending the funds received through the settlement. This clause restricts the beneficiary's ability to transfer or assign the settlement funds and ensures that the funds are used responsibly and as intended. For example, if a person receives a settlement for a personal injury claim, the spendthrift clause may be included to prevent the individual from frivolously spending the entire amount and instead, ensuring it is used for medical expenses and ongoing care.