Endowment Insurance Plans
benefits with the tax exemption it brings. You can claim the tax exemption under Section 80C for the premium paid, and the sum assured received is tax-free under Section 10 (10D). Hence, it is a win-win situation. Also, Endowment Insurance pays the face value to the insured either at the end of the contract period or upon the insured’s unfortunate demise. This is a contrast to other life insurance, which compensates the face value only in the event of the insured’s unforeseen death.