State the correct statement out of the following ones.

Credit Life Insurance policy is an endowment plan
Mortgage Redemption plan is also an endowment plan
Whole life plan is also an endowment plan
Money Back plan is a kind of endowment plan

The correct answer is: D. Money Back plan is a kind of endowment plan.

An endowment plan is a type of life insurance policy that provides a lump sum payment upon the death of the insured, as well as a return of premiums if the insured survives to the end of the policy term. Money back plans are a type of endowment plan that offer a guaranteed return of premiums, typically at the end of the policy term.

Credit life insurance is a type of life insurance that is designed to repay a loan in the event of the death of the borrower. Mortgage redemption plans are a type of life insurance that is designed to repay a mortgage in the event of the death of the borrower. Whole life insurance is a type of life insurance that provides lifelong coverage and builds cash value over time.

Here is a table that summarizes the key features of each type of plan:

| Plan type | Death benefit | Return of premiums | Cash value |
|—|—|—|—|
| Endowment plan | Yes | Yes | Yes |
| Money back plan | Yes | Yes | No |
| Credit life insurance | Yes | No | No |
| Mortgage redemption plan | Yes | No | No |
| Whole life insurance | Yes | Yes | Yes |

As you can see, only money back plans offer a guaranteed return of premiums.

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