State any four advantages of having life insurance.
Solution and Explanation
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.
Top Questions on Insurance
Match List-I with List-II
Match the following committees with their mandates in List I and List II:
- Which of the following principles distinguishes an insurance contract from a wagering contract?
- Mr. A insures his house worth Rs. 10 crores with two insurers HDFC for Rs. 7.50 crores and Bajaj Allianz for Rs. 7.50 crores. The actual loss of house destroyed is Rs. 7 crores. Now, Mr. A can claim full loss of Rs. 7 crores either from HDFC or Bajaj Allianz or proportionately Rs. 3.5 crores from each of them. Which principle of insurance is applicable in this situation?
Match List-I with List-II
Questions Asked in CBSE X exam
Leaves of the sensitive plant move very quickly in response to ‘touch’. How is this stimulus of touch communicated and explain how the movement takes place?
- CBSE Class X - 2025
- Plant Biology
- Rama is a farmer. She needs loan for agriculture work. Which of the following sources of loan will be beneficial for Rama? Choose the most appropriate option:
I. Bank
II. Agricultural Trader
III. Self-Help Group
IV. Government- CBSE Class X - 2025
- Money and Credit
Read the following sources of loan carefully and choose the correct option related to formal sources of credit:
(i) Commercial Bank
(ii) Landlords
(iii) Government
(iv) Money Lende- CBSE Class X - 2025
- Money and Credit
- Two statements are given below. They are Assertion (A) and Reason (R). Read both the statements carefully and choose the correct option. Assertion (A): Rupees is accepted as medium of exchange in India.
Reason (R): The World Bank legalises the use of rupee as a medium of payment in India.- CBSE Class X - 2025
- Money and Credit
- Rama is a farmer. She needs loan for agriculture work. Which of the following sources of loan will be beneficial for Rama? Choose the most appropriate option. I. Bank
II. Agricultural Trader
III. Self-Help Group
IV. Government- CBSE Class X - 2025
- Money and Credit