Came across this quotation...
Perhaps the real question is not why does God allow for physical evil, but why did God create us in a material world? Some suggest that God created us in an imperfect material world so that we would not rely on ourselves but come to love and rely on the perfect God (2 Cor 1:8-9). St. Irenaeus of Lyons (190 A.D.) wrote:
"...where there is no exertion, there is no appreciation. Sight would not be so desirable if we did not know what a great evil blindness is. Health, too, is made more precious by the experience of sickness; light by comparison with darkness; life with death. In the same way, the heavenly kingdom is more precious to those who have known the earthly one. But the more precious it is, the more we love it; and the more we love it, the more glorious shall we be in the presence of God. God, therefore, permitted all these things, so that we, instructed by them all, might in future be prudent in all things, and, wisely taught to love God, might abide in that perfect love." [Against Heresies IV,37,7] -- from A Catholic Response