Which type of term insurance is the best?

The type of term plan that will be suitable for you will depend completely on your insurance needs. Those seeking only a pure life cover can opt for a pure term insurance plan. On the other hand, if you also want maturity benefits at the end of the policy term, you can opt for a term plan with a return of premiums.

Term Insurance AWARD WINNING

Investment Plans

NRI Plans

All Plans

Customer Service

Calculators

Fund Performance

Term Insurance with Maturity Benefits

Q: Does a term insurance plan offer maturity benefits?

A pure term plan offers only a life cover that extends a death benefit on the policyholder’s death. However, a term plan with a return of premiums will offer a maturity benefit. If you outlive the policy term, you will be eligible to receive the total premiums paid towards the policy throughout the policy term.

Q: What happens when a term insurance policy matures?

When a pure term plan matures, the policy will terminate, and no benefits can be offered. When a term plan with a return of premium matures, the total premiums paid over the premium paying term will be returned to the policyholder as a maturity benefit.

Q: Is there a way to get money back in term insurance after maturity?

Yes, if you want to receive your money on maturity in a term plan, you can opt for a term plan with a return on premium. This type of term plan offers a return of all the premiums paid on the policy during the premium payment term.

Q: What is the difference between a pure term insurance plan and a term plan with maturity benefits?

A pure term plan will only offer a life cover that will extend death benefits to the beneficiaries. Once this benefit is paid out, no other benefit will be payable. However, if the policyholder survives the term of a pure term plan, no maturity benefits will be paid out when the tenure is over. A term plan with maturity benefits will offer the death benefits or the maturity benefits to the beneficiaries or the policyholder, as per the applicable scenario.

Q: Are the term insurance maturity benefits taxable?

The maturity benefits on term insurance with return of premium will be tax-free under Section 10(10D) of the Income Tax Act subject to fulfilling conditions under section 10(10D).

Q: What is the difference between maturity value and sum assured in term insurance?

The sum assured of a term plan is the predetermined coverage that can be offered as a death benefit to the beneficiaries in the event of the policyholder’s death. In contrast, the maturity value of a term plan is the return of the total premiums paid on the policy during the premium payment term.

Term insurance secures the family’s financial future in the absence of primary breadwinner. Pure term plans provide life cover... Read more at low premiums but do not provide maturity benefits. Those looking for added value can opt for Term Insurance with Return of Premium (TROP) which provides coverage and refunds the total premiums if the policyholder survives the term. This offers security and peace of mind. Read less

Almost there!

Your premium calculation is in progress

Get ₹1 Cr. Life Cover at ₹501/month¹

Up to 18.5% discount² (1^st year
premium)
4-hour claim settlement³
Option to get all premiums back⁴

³T&C apply.

Term Insurance Calculator

Full name (First and last)

Date of birth

Are you an NRI?

Yes

Gender

Male

Female

Do you smoke?

Yes

Email ID

Term Insurance Calculator

Here's your customized plan

Get Life Cover of ₹1 Crore by paying a premium of

₹7,085/month

Total premium: ₹14.09 Lakh

saving Save ₹1,202 with discounts

₹ 4.2 Lakh

₹ 1 Crore

You Pay (Total)

You Get (Life Cover)

Discounts

2% Milestone discount

2% discount on 1st year premium on these milestones

Event	Eligibility
Wedding (1 wedding only)	Within 6 months before or after the date of wedding
Birth/ Adoption of 1^st child*	Within 6 months before or after the birth/ adoption date
Home loan	Within 6 months of loan getting sanctioned
First job	Within 6 months of joining date

*Policy issuance eligibility for female customers will be determined by Board Approved Underwriting Policy (BAUP)

The above milestones cannot be clubbed to avail more discount, Such discount shall be capped to a maximum of ₹500 over the year.

A certified Tata AIA expert will call you from a 1600‑series number to customize your plan.

Buy your plan

Annual Income (₹)

Corporate Email Id

Tata AIA Sampoorna Raksha Promise - Non-Linked, Non-Participating, Pure Risk, Individual Life Insurance Product (UIN:110N176V11)

Investment Calculator

Unable to load your customized plan

Please try again after some time

Our sales representative will connect with you soon to assist further

Try again

Investment Calculator

Request timeout

We're facing a technical issue. Please try again after some time

Our sales representative will connect with you soon to assist further

Try again

Written by

Vishal Kapoor

Insurance Expert

Vishal Kapoor

Vishal Kapoor, AVP - Brand & Product Marketing at Tata AIA, has over 17 years of experience in the BFSI sector. He is responsible for driving brand strategy, product & channel marketing campaigns.

Reviewed by

Girish J Kalra

Chief Marketing Officer

Girish J Kalra

Girish J Kalra, Chief Marketing Officer at Tata AIA, leading the organizations marketing & corporate communication initiatives..

What is a term insurance plan?

A term insurance plan is a pure protection policy that provides financial security to a family in case of the policyholder’s untimely demise during the policy term. It pays a fixed sum assured to the beneficiaries, helping them cope with financial challenges. This amount may be used to manage important life goals, such as funding children’s higher education, which often involves significant expenses in India or abroad. It also supports marriage costs, which can be a major financial responsibility for many families.

Additionally, the payout may help repay large debts like home loans or business liabilities, preventing asset loss or financial burden on dependents. With affordable premiums and high coverage, term plans offer critical protection and peace of mind.

What is maturity benefit in term insurance?

A maturity benefit is the amount paid by an insurer when the policyholder survives the complete policy term, subject to the policy’s terms and conditions. However, standard term insurance generally provides pure life protection and does not include a maturity payout.

A term insurance policy usually works as follows:

During the policy term: The policyholder pays premiums to keep the life cover active.
If the insured dies during the term: The nominee receives the death benefit, subject to the policy terms.
If the insured survives the term: A regular term insurance policy generally ends without a maturity payout.
With a maturity benefit: Certain term insurance products may return an amount at the end of the policy term if the policyholder survives, depending on the product structure.

Therefore, it is important to check whether a policy specifically offers a maturity benefit rather than assuming that every term insurance policy includes one.

Key features of term insurance with maturity benefits

Term insurance with maturity benefit, also called TROP, offers life cover along with the return of total premiums paid if the policyholder survives the policy term. Below are its key features:

Entry Age: You may enter a TROP plan between the ages of 18 and 65 years.
Premium Payment Options: You may choose to pay the premium in one instance (single pay), for a limited period (limited pay), or throughout the policy term (regular pay).
Policy Maturity Age: This age varies depending on the insurance plan.
Payment Frequency: Premiums can be paid either monthly or yearly.
Coverage: These plans offer both death benefits and maturity benefits. You may also nominate someone to receive the payout.
Policy Term: The minimum term is 5 years, and the maximum may range from 30 to 35 years.
Premium: Premium amount depends on your age and the chosen sum assured.
Free Look Period: You get 15 days to review the plan if bought offline and 30 days if bought online.

This type of plan offers both protection and financial return, supporting long-term security.

Tata AIA term insurance plans with maturity benefits

Tata AIA offers term insurance options with different features and coverage structures. When considering a plan with a maturity feature, review the product details to understand how the maturity amount is calculated and what premiums or charges are considered.

Life cover during the policy term

A term plan with a maturity feature continues to provide life cover during the selected policy period. If the insured dies during the term, the applicable death benefit is paid to the nominee according to the policy conditions.

Maturity payout on survival

Eligible plans may provide a maturity payout when the policyholder survives the complete policy term. The amount and conditions depend on the specific product selected.

Premium structure

A maturity feature may involve a different premium structure compared with a basic term insurance policy. Before purchasing, compare the premium with the coverage and maturity conditions offered.

Check the policy terms

The maturity benefit may be subject to specific conditions, exclusions and premium-payment requirements. Reading the policy documents can help you understand when the benefit becomes payable.

You can also review different term insurance policies based on their coverage, premium, and features. A term insurance calculator can help estimate premiums for the desired cover and policy term before comparing available options.

Advantages of a term insurance with maturity benefits

Term insurance with maturity benefits offers both protection and survival-based financial outcomes, supporting structured planning for different life situations.

Assured protection
: During the policy term, the plan continues to provide financial protection to the family. In case of the policyholder’s absence, the nominee receives the sum assured along with any applicable benefits as defined in the policy terms.
Comprehensive financial security
: Along with protection, a term insurance plan also supports financial continuity after the policy term. If the policyholder survives, the premiums paid are returned, offering a structured financial outcome without affecting coverage during the tenure.
Tax benefits
: Premiums paid towards a term insurance plan may qualify for deductions under Section 80C of the Income Tax⁵ Act. In addition, the maturity proceeds may be eligible for tax exemption under Section 10(10D), subject to applicable conditions.

Who should purchase term plan with maturity benefits?

Term plans with maturity benefits can be suitable for different policyholders, depending on their individual goals and financial responsibilities. Since the maturity benefit is paid out as a lump sum to the policyholder at the end of the policy term, here are some categories of individuals who may consider opting for a term policy with maturity benefits:

Newly married couples

Marriage is a significant milestone that brings new financial obligations. With a term plan that offers extensive life insurance coverage, newly married couples may also benefit from the return of premiums. The lump sum amount received on maturity may help keep funds for future planning.

Young parents

Young parents may opt for a term plan with return of premiums, as the life cover protects their children’s future in case the policyholder passes away within the policy term. Additionally, the maturity benefit received at the end of the term may supplement existing savings and help achieve goals such as higher education and career-orientated programmes.

Self-employed persons

Self-employed professionals or entrepreneurs require life insurance coverage to safeguard their families and manage financial obligations such as loans or debts. The dual advantage of death and maturity benefits offered by term plans with maturity payouts helps in planning long-term financial commitments and risk preparedness.

Homemakers

Life insurance is equally important for homemakers. While term insurance provides protection at affordable premiums, the maturity benefit acts as an additional saving that can be used to support their family or build an emergency reserve.

How to choose the best term plan with maturity benefits?

To select the best term insurance plan with maturity benefits, you must assess your financial obligations, your family’s future needs, and key policy features.

Evaluate your family’s life stage requirements

A term plan with maturity benefits may provide comprehensive coverage throughout the policy term. Consider the evolving needs of your family, such as children’s education, healthcare requirements, and routine expenses at various life stages. Choose a plan that aligns with these goals and offers adequate protection.

Consider loans and liabilities

Your term insurance plan should account for any existing loans or liabilities to ensure your family is not financially burdened in your absence. Assess the sum assured carefully and opt for a policy that offers sufficient coverage to clear debts and maintain financial stability.

Calculate the premiums

While term insurance plans are cost-effective, policies with maturity benefits involve higher premiums due to the added payout. Use premium calculators to determine the amount you may comfortably pay and choose a policy that fits your budget.

Explore premium payment options

Ensure the policy offers flexibility in premium payment modes. You may select Single Pay, Regular Pay, or Limited Pay options, with frequencies such as monthly, quarterly, half-yearly, or annually based on your income cycle and convenience.

Compare term plans

Due to the flexibility of term plans, evaluate multiple policies and their features to find the one that best suits your needs. Look for included benefits like critical illness cover, or consider policies that extend coverage up to whole life for added security.

Look for better claim settlement

An insurer’s claim settlement ratio reflects their commitment to supporting policyholders’ families during difficult times. Prefer insurers with a consistently high claim settlement ratio, ensuring timely disbursal of the death benefit.

Term plan with maturity benefit vs. traditional term plan and other investments

A term insurance with maturity benefits differs from a standard term plan and from investment-based alternatives. The key differences relate to life cover, maturity payouts, premiums, and investment risk.

Term plan with maturity benefit vs. traditional term plan

A traditional term plan primarily provides life cover for a defined period. If the insured dies during the policy term, the nominee receives the death benefit, subject to policy terms. Generally, there is no maturity payout when the policyholder survives the term.

A term insurance plan with maturity benefit may provide an amount on survival, depending on the product structure.

Traditional term plan: Primarily focused on life protection.
Term plan with maturity benefit: Combines life protection with a specified maturity feature.
Premium: A plan with a maturity feature may have a higher premium than a basic term plan.
Maturity: A traditional term plan generally has no maturity payout, while an eligible maturity-benefit plan may provide one.

Term plan with maturity benefit vs. term plan plus SIP

Another approach is to purchase a traditional term plan for life protection and invest separately through a SIP

A traditional term plan provides life cover.
A SIP invests in market-linked securities through a mutual fund.
The value of a SIP investment depends on market performance.
A term plan with a maturity feature follows the payout conditions specified in the insurance policy.
Keeping insurance and investments separate allows each product to serve a distinct purpose. .

Term plan with maturity benefit vs. endowment or money-back plans

Endowment and money-back plans combine life insurance with savings-related features. Their benefit structure differs from that of a term insurance policy with a maturity feature.

When comparing these options, consider:

Life cover: Compare the level of protection offered for the premium payable.
Maturity benefit: Check when and how the maturity amount becomes payable.
Premium: Compare the premium commitment across the policy terms.
Liquidity: Review the conditions for surrender, withdrawal or other available options.
Investment element: Understand whether the policy includes market-linked or non-market-linked benefits.

What should you compare?

There is no single structure that suits every policyholder. Compare the life cover, premium, policy term, maturity conditions and other policy features based on your financial requirements.

A term life insurance with maturity benefit can be considered when both life protection and a maturity payout are part of the requirement, while a traditional term plan focuses primarily on protection.

Reasons to buy term insurance even though there are no maturity benefits

Term insurance is primarily designed to offer financial protection to the family in case of your death. Some people hesitate due to the absence of maturity benefits. However, it’s vital to understand the core purpose of term plans – providing high life cover at an affordable premium.

A pure term plan allows you to secure a substantial sum assured for a relatively low cost. This ensures that in your absence, your family has enough financial support to cover living expenses, repay loans, and meet future goals such as children's education or marriage.

Moreover, Term Insurance with Return of Premium (TROP) plans are available. They return the premiums paid if you survive the policy term. So, choosing suitable term plans can ensure peace of mind and also maturity benefits.

Looking to buy a new insurance plan?

Our experts are happy to help you!

Looking to buy a new insurance plan?

Our experts are happy to help you!

Are you an NRI?

Yes

Name

Plan

Does a term insurance plan offer maturity benefits?

No, a pure term insurance plan does not offer maturity benefits. However, a term plan with a return of premiums returns the premiums paid if the policyholder survives the policy term.

What happens when a term insurance policy matures?

When a pure term plan matures, it ends without any payout. However, a return of premium term plan refunds the total premiums paid as a maturity benefit to the policyholder.

Is there a way to get money back in term insurance after maturity?

Yes, to receive a payout on maturity, you may choose a term plan with return of premium. It refunds all premiums paid during the policy’s premium payment term to the policyholder.

What is the difference between a pure term insurance plan and a term plan with maturity benefits?

A pure term plan offers only death benefits. In contrast, a term plan with maturity benefits pays either death or maturity benefits, provided all premiums are paid and the policy remains active.

Are the term insurance maturity benefits taxable?

Maturity benefits from a term insurance plan with return of premium are tax-free under Section 10(10D) of the Income Tax Act if the specified conditions are met.

Which type of term insurance is considered suitable?

A suitable term insurance depends on your needs. You can choose a pure term plan that provides life cover, ensuring your family’s financial security. You can opt for a return of premium plan to avail maturity benefit upon surviving the policy term.

What is the difference between maturity value and sum assured in term insurance?

The sum assured is the amount nominees receive as a death benefit. Whereas maturity value is the total premium amount returned to policyholders upon surviving the policy term if they opted for the return of premium.

Tata AIA Sampoorna Raksha Promise - Non-Linked, Non-Participating, pure risk, Individual Life Insurance Product (UIN:110N176V13)
¹As per the duly approved product design and terms & conditions of the product, Illustrated premium of ₹501 is the monthly premium for a 20 yr. old female, Standard Life, Non-Smoker for ₹1 Cr. Sum Assured with Policy Term of 20 yrs. (Regular Pay) under Life Promise Option of Tata AIA Sampoorna Raksha Promise with first year premium discount of 10% for digital purchase and 8.5% for salaried person. Please refer Benefit Illustration for more details.
²As per the duly approved product design and terms & conditions of the product, this includes first year digital discount of 10% for Limited Pay/Regular Pay and 8.5% salaried discount. For Single Pay, 1% discount will be available for online purchase and salaried discount each.
³Applicable to only non-early claims with more than 3 years of policy duration, non-investigation cases, up to Sum Assured of ₹50 Lakh. Applicable for branch walk in. Time limit to submit claim to Tata AIA Life Insurance is 2 pm on working days. Subject to submission of complete documents. Not applicable for ULIP policies and open title claims.
⁴Under Life Promise Plus Option, an amount equal to the 100% of the Total Premiums Paid (excluding loading for modal premiums) shall be payable at the end of the Policy Term, provided the life assured survives till maturity and the policy is not terminated earlier.
⁵Income Tax benefits would be available as per the prevailing income tax laws, subject to fulfillment of conditions stipulated therein. Income Tax laws are subject to change from time to time. Tata AIA Life Insurance Company Ltd. does not assume responsibility on tax implication mentioned anywhere in this document. Please consult your own tax consultant to know the tax benefits available to you.
⁶99.45% is the Individual Death Claim Settlement Ratio for FY 2025-26 as per latest audit figures
No Goods and Service Tax shall be applicable on Individual life insurance products as per prevailing laws. Tax laws are subject to amendments from time to time. If any imposition (tax or otherwise) is levied by any statutory or administrative body under the Policy, Tata AIA Life Insurance Company Limited reserves the right to claim the same from the Policyholder.
This product is underwritten by Tata AIA Life Insurance Company Ltd.
The plan is not a guaranteed issuance plan, and it will be subject to company’s underwriting and acceptance.
Insurance cover is available under this product.
For more details on risk factors, terms and conditions please read sales brochure carefully before concluding a sale. The precise terms and condition of this plan are specified in the Policy Contract.
Buying a Life Insurance Policy is a long-term commitment. An early termination of the Policy usually involves high costs, and the Surrender Value payable may be less than the all the Premiums Paid.
In case of non-standard lives and on submission of non-standard age proof, extra premiums will be charged as per our underwriting guidelines.
This publication is for general circulation only. This document is for information and illustrative purposes only and does not purport to any financial or investment services and do not offer or form part of any offer or recommendation. This document is not and should not be regarded as investment advice or as a recommendation regarding any particular security or course of action.
L&C/Advt/2026/Sep/5313

Term Insurance with Maturity Benefits

Get ₹1 Cr. Life Cover at ₹501/month1

Term Insurance Calculator

Term Insurance Calculator

Here's your customized plan

Vishal Kapoor

Girish J Kalra

What is a term insurance plan?

What is maturity benefit in term insurance?

Key features of term insurance with maturity benefits

Tata AIA term insurance plans with maturity benefits

Life cover during the policy term

Maturity payout on survival

Premium structure

Check the policy terms

Advantages of a term insurance with maturity benefits

Assured protection

Comprehensive financial security

Tax benefits

Who should purchase term plan with maturity benefits?

Newly married couples

Young parents

Self-employed persons

Homemakers

How to choose the best term plan with maturity benefits?

Evaluate your family’s life stage requirements

Consider loans and liabilities

Calculate the premiums

Explore premium payment options

Compare term plans

Look for better claim settlement

Term plan with maturity benefit vs. traditional term plan and other investments

Term plan with maturity benefit vs. traditional term plan

Term plan with maturity benefit vs. term plan plus SIP

Term plan with maturity benefit vs. endowment or money-back plans

What should you compare?

Reasons to buy term insurance even though there are no maturity benefits

Looking to buy a new insurance plan?

Looking to buy a new insurance plan?

FAQ's on term insurance with maturity benefits

Does a term insurance plan offer maturity benefits?

What happens when a term insurance policy matures?

Is there a way to get money back in term insurance after maturity?

What is the difference between a pure term insurance plan and a term plan with maturity benefits?

Are the term insurance maturity benefits taxable?

Which type of term insurance is considered suitable?

What is the difference between maturity value and sum assured in term insurance?

Disclaimers

Get ₹1 Cr. Life Cover at ₹501/month¹