Question

State any four advantages of having life insurance.

Answer 1

1. Financial Protection: Provides financial security to the family in case of the policyholder’s death.

2. Tax Benefits: Premiums paid for life insurance are tax-deductible under Section 80C of the Income Tax Act.

3. Long-Term Savings: Certain policies help in accumulating savings over time.

4. Loan Facility: Policyholders can borrow against the life insurance policy in emergencies.
Life insurance ensures peace of mind by combining protection and savings.