Which one of the following statements is correct?

Both the statements are correct.
The schedule of a policy is not altered after the policy is issued. After the policy is issued, the policyholder in a number of cases finds the terms not suitable to him and desires to change them. LIC allows certain types of alterations during the lifetime of the policy. However, no alteration is permitted within one year of the commencement of the policy with some exceptions.
Changes in the terms of the policy are made through endorsements. Technically, an endorsement is a document that incorporates amendments and additions in the existing terms of the policy. It is a written evidence of an agreed change to the policy.