A pure term insurance plan only provides life cover to the beneficiary in the event of life insured’s untimely demise. It does not provide any benefit on maturity. However, you can get maturity benefit under term insurance plan if you opt for return of premium option. This option will require you to pay higher premiums but will return you the total premiums paid by you if you survive the policy tenure. But, the total premium amount to be returned will not include any taxes, levies, rider premium and modal amount paid on the premium.
These days, you can easily use an online term plan calculator to estimate the premium of a term insurance plan with or without maturity benefits. It will help you make a prudent decision based on your financial needs.
The premium payable amount has historically been a key consideration among Indians planning to purchase a life insurance plan. However, the Max Life IPQ 6.0 Survey recorded a shift with life cover gaining almost equal importance among Indians planning to purchase a life insurance policy. For further insight into the current perception of life insurance among Indians, please
read the complete Max Life IPQ 6.0 survey report findings.