Which of the following statements is true about limited liability company (LLC) members?

The correct option reflects the key characteristic of limited liability companies (LLCs), which is that members enjoy limited liability protection. This means that members are only liable for the company's debts and obligations to the extent of their investment in the company. This protection prevents members from risking their personal assets beyond the amount they have invested in the LLC, making it an appealing structure for many business owners.

Limited liability is a fundamental aspect of how LLCs are structured, granting members security against personal financial loss if the business were to incur debt or face legal judgments. This feature is what distinguishes LLCs from other forms of business entities, such as sole proprietorships or general partnerships, where personal liability is more extensive.

Understanding this limited liability aspect is crucial for anyone participating in or considering forming an LLC, as it directly impacts their personal financial risk in relation to their business activities.