Best Term Insurance Plans in India: Buying term insurance is one of those financial decisions that may feel unnecessary when everything is going well—but becomes extremely important when a family’s income suddenly disappears.
Unlike traditional life insurance policies that may combine protection with savings or investment features, term insurance is primarily designed to provide a large life cover at a relatively affordable premium. If the insured person dies during the policy term, the nominee receives the death benefit according to the policy terms.
But choosing a term insurance policy isn’t simply about finding the cheapest premium.
With dozens of insurers, different policy variants, riders, payout options, and coverage limits available in India, the real challenge is finding a plan that matches your family’s financial needs.
The good news is that you don’t necessarily need the most expensive policy or the plan with the biggest advertised cover. You need adequate protection from a financially reliable insurer, with terms you understand and a premium you can sustain for the entire policy duration.
This guide explains some of the major term insurance plans available in India in 2026, what makes them different, how to compare them, and what you should check before buying.
What Is Term Insurance?
Term insurance is a pure life-protection product that provides financial coverage for a specified period.
You pay a premium—monthly, quarterly, annually, or according to the payment option offered by the insurer. If the life assured dies during the covered period, the insurer pays the applicable death benefit to the nominee.
For example, suppose a person buys a ₹1 crore term insurance policy for 30 years.
If the insured dies during those 30 years, the nominee may receive the ₹1 crore death benefit, subject to the policy terms.
If the insured survives the entire term, a standard term plan generally does not pay a maturity amount. Some products, however, offer a return-of-premium option at a higher cost.
Which Is the Best Term Insurance Plan in India?
There is no single term insurance policy that is automatically the best for every individual.
A plan that works well for a 25-year-old unmarried professional may not be suitable for a 40-year-old parent with a home loan and two children.
When comparing term insurance, look at:
- Life cover required
- Claim settlement track record
- Premium affordability
- Policy duration
- Entry and maximum maturity age
- Available riders
- Payout options
- Premium-payment flexibility
- Medical underwriting
- Insurer’s financial strength
- Policy exclusions and conditions
Policybazaar’s current comparison similarly evaluates insurers across claim reliability, product features, policy term, flexibility, pricing, sum assured, and entry age rather than relying only on premium.
Top Term Insurance Plans in India 2026
The following are among the term insurance products currently listed on Policybazaar’s 2026 comparison page. They should be treated as comparison options, not a universal ranking or endorsement. Policybazaar itself states that the listed plans are not individually endorsed or recommended.
| Insurer | Term Insurance Plan | Entry Age | Sum Assured Range* |
|---|---|---|---|
| HDFC Life | Click 2 Protect Supreme Plus | 18–65 years | ₹10 lakh+ / No stated upper limit |
| ICICI Prudential Life | iProtect Smart Plus | 18–65 years | ₹25 lakh–₹20 crore |
| Tata AIA Life | Sampoorna Raksha Promise | 18–65 years | ₹25 lakh+ / No stated upper limit |
| SBI Life | Smart Shield Plus | 18–65 years | ₹25 lakh+ / No stated upper limit |
| Bajaj Life | eTouch II | 18–65 years | ₹50 lakh+ / No stated upper limit |
| Axis Max Life | Smart Term Plan Plus | 18–60 years | ₹25 lakh–₹20 crore |
| Go Digit Life | Digit Glow Plus Term Insurance | 18–65 years | ₹25 lakh–₹1 crore |
| Aditya Birla Sun Life | ABSLI Super Term Plan | 18–65 years | ₹25 lakh+ / No stated upper limit |
| IndiaFirst Life | IndiaFirst Life Plan | 18–60 years | ₹1 lakh–₹50 crore |
| Kotak Mahindra Life | Kotak e-Term Insurance | 18–65 years | ₹51 lakh+ / No stated upper limit |
| Canara HSBC Life | Promise2Secure | 18–60 years | ₹25 lakh+ / No stated upper limit |
| PNB MetLife | Mera Term Plan Plus | 18–60 years | ₹25 lakh+ / No stated upper limit |
| LIC | New Jeevan Amar | 18–65 years | ₹25 lakh+ / No stated upper limit |
*Eligibility, sum assured, entry age and product availability can vary by policy variant and may change. Always check the insurer’s current brochure and policy wording before purchasing.
1. HDFC Life Click 2 Protect Supreme Plus
HDFC Life’s Click 2 Protect Supreme Plus is one of the prominent term insurance products listed in the current comparison.
The plan allows entry from age 18 and has a stated maximum entry age of 65 years on the comparison page. Its sum assured range is positioned for customers looking for substantial life protection.
The important point for buyers is to examine the exact variant selected, because benefits, payout structures, and optional features can differ.
2. ICICI Pru iProtect Smart Plus
ICICI Prudential’s iProtect Smart Plus is another major term insurance option.
The listed entry age is 18 to 65 years, with a sum assured range of ₹25 lakh to ₹20 crore on the current comparison page.
It can be considered by buyers who want a higher level of life protection, but the right cover should be calculated from actual financial responsibilities rather than simply choosing the maximum amount available.
3. Tata AIA Sampoorna Raksha Promise
Tata AIA’s Sampoorna Raksha Promise is another option in the current market.
The product is listed with an entry age of 18 to 65 years and a sum assured starting at ₹25 lakh, with no stated upper limit in the comparison.
When evaluating this or any other term plan, check the exact death-benefit structure, premium-payment option, and additional benefits offered under the chosen variant.
4. SBI Life Smart Shield Plus
SBI Life’s Smart Shield Plus is another term-protection product available to customers.
The current comparison lists entry eligibility from 18 to 65 years and a sum assured beginning at ₹25 lakh, with no stated upper limit.
For customers who already have financial relationships with banks or other institutions, it can be useful to compare the actual premium and policy terms rather than selecting an insurer simply because of brand familiarity.
5. Bajaj Life eTouch II
Bajaj Life’s eTouch II is listed with entry eligibility between 18 and 65 years and a sum assured starting from ₹50 lakh.
A higher available cover can be useful for families with significant liabilities, but the cover should still be aligned with income, loans, dependants, and long-term financial goals.
6. Axis Max Smart Term Plan Plus
Axis Max Life’s Smart Term Plan Plus is listed for entry ages between 18 and 60 years, with cover ranging from ₹25 lakh to ₹20 crore according to the current comparison.
The lower maximum entry age compared with some competing products is something older applicants should consider when comparing plans.
7. Go Digit Glow Plus Term Insurance
Digit Glow Plus Term Insurance is another product in the current list.
The comparison page lists an entry age of 18 to 65 years and a sum assured range of ₹25 lakh to ₹1 crore.
If you’re considering a relatively straightforward protection product, compare its premium and features with similar plans before making a decision.
8. Aditya Birla Sun Life Super Term Plan
ABSLI Super Term Plan is listed with entry eligibility from 18 to 65 years and a sum assured beginning at ₹25 lakh, with no stated upper limit on the comparison page.
The right choice will depend on the cover required, premium, and specific features available to your profile.
9. IndiaFirst Life Plan
IndiaFirst Life’s term insurance offering is listed with an entry age of 18 to 60 years and a sum assured range from ₹1 lakh to ₹50 crore.
This illustrates why comparing the available coverage range matters—different insurers have very different product structures and eligibility criteria.
10. Kotak e-Term Insurance
Kotak Mahindra Life’s e-Term Insurance is listed with an entry age of 18 to 65 years and a sum assured beginning at ₹51 lakh.
Customers should compare the premium for an identical profile rather than comparing two plans using different cover amounts.
11. Canara HSBC Promise2Secure
Canara HSBC Life’s Promise2Secure is listed for applicants aged 18 to 60 years, with the sum assured starting at ₹25 lakh.
As with any term plan, buyers should review the policy wording carefully to understand exactly how the death benefit and optional features work.
12. PNB MetLife Mera Term Plan Plus
PNB MetLife’s Mera Term Plan Plus is another term insurance product currently listed in the comparison.
Its listed entry age is 18 to 60 years, with a sum assured starting at ₹25 lakh.
The final decision should be based on the policy’s actual terms and your family’s protection requirements rather than the insurer’s name alone.
13. LIC New Jeevan Amar
LIC’s New Jeevan Amar is a term insurance product from India’s public-sector life insurer.
The current Policybazaar comparison lists an entry age of 18 to 65 years and a sum assured beginning at ₹25 lakh, with no stated upper limit.
LIC’s large brand presence may make it familiar to many buyers, but familiarity should not replace a side-by-side comparison of premium, policy term, benefits, and conditions.
How Much Term Insurance Cover Do You Need?
This is one of the most important questions to answer before purchasing a policy.
Instead of randomly selecting ₹50 lakh, ₹1 crore or ₹2 crore, consider:
Your annual income
Your life cover should generally reflect the economic value of your future income.
Outstanding loans
Add major liabilities such as:
- Home loan
- Personal loan
- Vehicle loan
- Business liabilities
Children’s future expenses
Consider education and other major financial goals.
Family’s living expenses
Your family may need income replacement for several years after your death.
Existing investments and insurance
Subtract assets and existing life cover that would realistically be available to your dependants.
A simple starting point can be:
Required Life Cover ≈ Future Family Needs + Liabilities − Existing Financial Resources
This isn’t a universal formula. Someone with substantial assets and no dependants may need far less cover than a young parent with a large home loan.
Why Buying Term Insurance Early Can Matter
Age is one of the factors that can significantly affect term insurance premiums.
Current Policybazaar comparison data shows that premiums generally increase as the applicant gets older for the same coverage and profile.
Buying earlier can therefore offer two potential advantages:
Lower starting premium: Younger applicants may generally receive lower premiums, subject to underwriting.
Longer protection period: A young policyholder can potentially lock in protection for a longer period.
However, buying early only makes sense if the policy remains appropriate for your long-term needs.
What Factors Affect Term Insurance Premiums?
Your premium isn’t determined by age alone.
Insurers may consider:
- Age
- Gender
- Smoking and tobacco use
- Alcohol consumption
- Medical history
- Existing health conditions
- Occupation
- Income
- Policy term
- Sum assured
- Payment frequency
- Selected riders
- Underwriting results
Policybazaar’s current premium comparisons also note that actual premiums can vary according to factors including age, gender, location, health history, lifestyle, income, occupation, cover amount, and policy term.
What Is Claim Settlement Ratio and Why Does It Matter?
The Claim Settlement Ratio (CSR) indicates the proportion of claims settled by an insurer according to the methodology used for the reported figure.
It can be a useful indicator when comparing insurers, but it should not be the only deciding factor.
For example, a very high claim settlement ratio does not automatically tell you:
- Whether your particular claim will be payable
- How complicated the claims process may be
- The quality of customer service
- The insurer’s financial strength
- Whether the policy conditions suit your family
A better approach is to consider CSR along with claim experience, policy wording, complaints, solvency, product features and premium.
Policybazaar says its current comparison considers claim reliability across multiple years rather than relying only on one year’s number.
Don’t Buy Term Insurance Only Because the Premium Is Cheap
A low premium can be attractive, but price should be only one part of the decision.
Suppose two policies offer ₹1 crore of cover but one costs significantly less.
Before choosing the cheaper policy, check:
- Policy term
- Death-benefit payout
- Claim conditions
- Exclusions
- Riders
- Premium-payment period
- Payout options
- Medical requirements
- Additional benefits
Policybazaar’s current comparison also emphasises that the lowest premium is not necessarily the best choice and recommends comparing claim track record, features, and riders along with price.
Which Riders Can Be Useful?
Depending on the insurer, term insurance policies may offer additional riders.
Common examples include:
Critical Illness Rider
May provide an additional benefit if the insured is diagnosed with specified critical illnesses covered under the rider.
Accidental Death Benefit Rider
Can provide an additional payout if death occurs due to a covered accident.
Accidental Total and Permanent Disability Rider
May provide benefits following qualifying accidental disability.
Waiver of Premium Rider
Under specified circumstances, future premiums may be waived according to the rider terms.
Terminal Illness Benefit
Some term plans include or offer benefits related to terminal illness.
Don’t automatically add every rider. Each additional feature can affect the premium and has its own conditions.
Should You Choose a ₹1 Crore Term Insurance Plan?
₹1 crore has become a popular headline figure in online term-insurance advertising, but it isn’t necessarily adequate for everyone.
For one family, ₹1 crore could provide meaningful financial protection.
For another family with:
- ₹70 lakh home loan
- Two children
- High annual expenses
- Limited investments
₹1 crore may not be enough.
Calculate your family’s actual financial requirement first.
What Policy Term Should You Choose?
Ideally, your policy should provide protection until the period when your family is financially dependent on your income.
For many working individuals, that may mean coverage until around retirement age, although the appropriate term depends on personal circumstances.
Consider:
- Current age
- Retirement plans
- Children’s ages
- Loan duration
- Spouse’s financial independence
- Existing assets
- Expected future income
Avoid choosing a short policy term simply because the premium looks cheaper.
What Is the Free-Look Period in Term Insurance?
The free-look period gives a policyholder time to review the policy after receiving the policy document.
Under IRDAI’s 2024 policyholder-protection regulations, individual life insurance policies generally have a 30-day free-look period, subject to the applicable regulatory conditions. During this period, a policyholder can review the terms and request cancellation if they disagree with the policy conditions, subject to applicable deductions and requirements.
This makes it important to actually read your policy after purchase rather than simply storing the document and forgetting about it.
Common Mistakes to Avoid When Buying Term Insurance
1. Choosing the cheapest policy
Price should never be the only criterion.
2. Buying too little cover
A ₹50 lakh policy may look substantial today but could be insufficient after accounting for future inflation and liabilities.
3. Hiding medical information
Never deliberately conceal health conditions or lifestyle information from the insurer.
4. Hiding smoking or tobacco use
Accurate disclosure is extremely important during underwriting.
5. Selecting the wrong policy term
A policy that expires while your family still depends on your income defeats much of the purpose of long-term protection.
6. Adding unnecessary riders
Buy riders based on actual risks rather than adding every available option.
7. Not informing the nominee
Your family should know that the policy exists and where the policy documents are stored.
8. Ignoring policy documents
The proposal form, policy schedule, and terms and conditions all matter.
Best Term Insurance Plan for Different Types of Buyers
| Buyer Profile | What to Prioritise |
|---|---|
| Young professional | Affordable long-term cover |
| Newly married person | Income replacement + future family needs |
| Parent | Higher cover for education and household expenses |
| Home-loan borrower | Cover sufficient to address outstanding liabilities |
| Self-employed person | Income replacement + business/family obligations |
| High-income professional | Higher sum assured + flexible payout |
| Older applicant | Eligibility, medical underwriting and affordability |
| NRI | International application, payment and claim requirements |
There is no universal winner. The right product depends on the person’s financial responsibilities and risk profile.
Final Verdict: How to Choose the Right Term Plan
The best term insurance policy isn’t necessarily the one with the lowest premium, highest cover, or highest claim settlement ratio.
A good term plan should bring together:
Adequate cover + affordable premium + suitable policy term + reliable insurer + useful features + clear policy conditions.
The current Indian market has a wide range of options from insurers such as HDFC Life, ICICI Prudential Life, Tata AIA, SBI Life, Bajaj Life, Axis Max Life, LIC, and several others. Their eligibility, sum assured limits, and product structures differ, so comparison is essential.
Before buying, calculate your family’s financial requirement, compare multiple insurers for the same profile, disclose your health and lifestyle information honestly, read the policy wording, and make sure the premium remains affordable for the long term.
Most importantly, buy term insurance for protection—not because an advertisement says a particular plan is the “best.”
Frequently Asked Questions (FAQs)
Which is the best term insurance plan in India in 2026?
There is no single best plan for everyone. Compare insurers on coverage, premium, claim track record, policy term, riders, payout options, and policy conditions before choosing.
Is ₹1 crore term insurance enough?
It depends on your income, liabilities, dependants, children’s future expenses, and existing assets. For some families, ₹1 crore may be sufficient, while others may require considerably more.
At what age should I buy term insurance?
Buying earlier can generally result in a lower premium because age is an important underwriting factor. However, the ideal time depends on when you acquire financial dependants and responsibilities.
Which is better—LIC or a private insurance company?
Neither should automatically be considered better for everyone. Compare the specific plan, premium, coverage, features, insurer track record, and policy terms rather than choosing purely based on the company’s ownership structure.
Does term insurance provide a maturity benefit?
A standard term insurance policy generally does not provide a maturity benefit if the policyholder survives the term. Some return-of-premium products work differently and may return eligible premiums according to their terms.
Can I buy more than one term insurance policy?
In many cases, an individual can hold multiple life insurance policies, subject to insurers’ underwriting and financial assessment. You should disclose existing policies when applying for additional cover.
Is term insurance premium fixed?
For a standard level-term plan, the premium structure is generally determined at policy inception according to the selected payment arrangement and policy terms. Always check the specific policy document because products and premium structures differ.
Does smoking affect term insurance premiums?
Yes. Smoking and tobacco use can affect underwriting and may result in a higher premium than that offered to a comparable non-smoker.
Can I add riders to my term insurance policy?
Many term plans offer optional riders such as accidental death, critical illness, or disability-related benefits. Availability and conditions vary between insurers.
What happens if I stop paying term insurance premiums?
The consequences depend on the policy’s terms, grace period, and payment structure. A policy can eventually lapse or become subject to other conditions if premiums remain unpaid, so you should contact the insurer promptly if you are unable to pay.
Is the term insurance death benefit taxable?
Tax treatment depends on the applicable provisions of the Income Tax Act and the circumstances of the policy. Tax rules can change, so check the current provisions or consult a qualified tax professional before making a decision.
What is the free-look period for term insurance?
Under the current IRDAI policyholder-protection framework, eligible individual life insurance policies generally have a 30-day free-look period from receipt of the policy document, subject to the applicable conditions.
What should I check before buying a term insurance plan?
Check the sum assured, policy term, premium, claim track record, exclusions, riders, payout structure, insurer’s financial position, medical requirements, and all policy conditions.
Disclaimer: Insurance products, premiums, eligibility criteria, claim ratios, riders and policy features can change. The insurer’s latest brochure, policy wording and official disclosures should always be treated as the final source before purchasing a policy. This article is for general information and should not be considered personalised financial or insurance advice.