The correct option is 1 and 2 only because the Janani Suraksha Yojana (JSY) primarily aims to encourage institutional deliveries by providing monetary incentives to mothers, thereby improving maternal health outcomes. While it aims to reduce maternal and infant mortality rates through financial assistance during childbirth, it does not explicitly cover wage loss due to pregnancy and confinement, making statement 3 incorrect. This aligns with the program's focus on safe delivery practices and enhancing access to healthcare services for marginalized sections of society, as emphasized in various health policy reviews and government reports relevant for UPSC examinations.