Explanation:

• Statement 1 is correct: Deposit insurance is providing insurance protection to the depositor’s money by receiving a premium.
• Statement 2 is correct: The government has set up Deposit Insurance and Credit Guarantee Corporation (DICGC) under RBI to protect depositors if a bank fails.

Statement 3 is correct: DICGC charges 10 paise per Rs 100 of deposits held by a bank. The premium paid by the insured banks to the Corporation is paid by the banks and is not to be passed on to depositors.

• DICGC last revised the deposit insurance cover to Rs 5 lakh in Feb, 2020, raising it from Rs 1 lakh since 1993.
• Deposit insurance covers all deposits such as savings, fixed, current, recurring deposits, etc. in all commercial banks, functioning in India.
• Deposits in State, Central and Primary cooperative banks, functioning in States/Union Territories are also covered.

Hence option 4th is correct.