The operating system plays a crucial role in handling Segmentation Faults. It’s responsible for managing memory allocation and protection, ensuring processes don’t access unauthorized or non-existent memory segments. When a process attempts such an action, the OS detects it and raises a Segmentation Fault signal. This interrupts the offending process, preventing further execution and potential damage. The default action is to terminate the process, but programmers can override this by defining custom handlers for the signal.