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The purpose of using DNA ligase in genetic engineering is to join DNA fragments together. DNA ligase is an enzyme that facilitates the formation of phosphodiester bonds between the sugar and phosphate backbone of DNA strands. This action is crucial when DNA fragments have been generated, for instance, through the process of cutting DNA with restriction enzymes. After these fragments are prepared for modification, DNA ligase enables the reassembly of these fragments into a continuous strand, which is especially important in the cloning process and creating recombinant DNA molecules. This makes DNA ligase essential for constructing plasmids that can be used in various genetic engineering applications, such as gene cloning, where precise joining of DNA segments is required to ensure correct gene expression and functionality in the host organism.

The other options, while related to the broader aspects of genetic engineering, do not accurately describe the specific function of DNA ligase. Cutting plasmids involves different enzymes, inserting plasmids into target cells is typically achieved through methods like transformation or electroporation, and cloning cells refers to the process of reproducing cells or organisms rather than the specific action of ligating DNA fragments.