Step 1: Understand band theory.
Electrical conduction depends on the energy gap between valence band and conduction band.
Step 2: Define insulator.
In insulators, the forbidden energy gap is very large.
Step 3: Property of diamond.
Diamond has a very large band gap (~5.5 eV).
Step 4: Effect on electrons.
Electrons cannot easily jump from valence to conduction band.
Step 5: Resulting behavior.
Hence, diamond does not conduct electricity.
Step 6: Reject incorrect options.
- Overlapping bands indicate conductor.
- Bonds in diamond are strong, not weak.
- Refractive index is unrelated to conduction.
Step 7: Final Answer.
\[
\boxed{\text{Option (A)}}
\]