Final answer:
A Savings Account with an insurance benefit is 5.a value-added deposit account, offering easy access to funds and additional features like insurance.
Step-by-step explanation:
A Savings Account with insurance benefit is best described as a value-added deposit account. Such account not only facilitates transactions by giving customers easy access to their money through checks or debit cards, but it also might provide additional benefits like insurance. While savings accounts typically pay an interest rate, the primary function is to keep funds secure and easily accessible, meeting the liquidity needs of account holders. Banks offer various services including such enhanced accounts, attempting to blur the lines between checking and savings accounts by providing additional features.
Financial institutions serve both borrowers and savers, offering a range of services from checking accounts for daily use to savings accounts for securing funds. With the added safety provided by the Federal Deposit Insurance Corporation (FDIC), which insures deposits up to $250,000, savings accounts present a low-risk option for depositors. Overall, the low risk, guaranteed safety, and high liquidity are the key selling points of these types of accounts.