Prices Increasing Soon
Mr Anand Kumar is an IT professional who bought a 1 Crore term insurance to ensure his family is not burdened with his 20 Lakh home loan and other debts in his absence. However, due to some personal reasons, Mr Kumar committed suicide during the policy term. But, instead of his family being burdened with the loan repayment and trying to take care of their other financial liabilities, the term insurance payout helped them completely pay off the remaining loan amount and still take care of their child’s fees and other monthly expenses. Let us understand does term insurance cover suicidal death, and if yes, what are the conditions and benefits related to that.
#All savings and online discounts are provided by insurers as per IRDAI approved insurance plans | Standard Terms and Conditions Apply
By clicking on "View plans" you agree to our Privacy Policy and Terms of use
++Source - Google Review Rating available on:- http://bit.ly/3J20bXZ
Yes, term insurance covers suicidal death, provided the policyholder doesn’t commit suicide within 12 months of buying the term plan. People who understand what is term insurance and its benefits know that term plans cover death due to suicide, but only in certain conditions. This plan helps financially and emotionally disturbed families by paying the benefit amount. The benefit amount payable in case of suicidal death during the first policy year would be 80%-90% of the total premiums paid are returned. For policies where the suicide occurs after the first 12 months of the policy issuance or revival, the entire sum assured will be paid. However, it is better to check with the insurer for the plan and specific T&Cs that are applicable on term insurance for suicidal death.
Suicide is one of the most common causes of demise between age groups of 15 years to 29 years and 15 years to 39 years. The suicide rate in India has risen to 12.4 per 1,00,000 people, the highest ever recorded in India. As per the National Crime Records Bureau (NCRB) report released in April 2024, 1,71,000 people in India died by suicide in 2022. The common reasons behind suicide could be mental illness, lifestyle ailments, and financial debts, so forth.
The subject of suicidal deaths is extremely sensitive, affecting both families and communities in deep and complex ways. When discussing life or term insurance coverage for such cases, handling the matter with empathy and care is important. Life insurance coverage for suicidal deaths is largely determined by guidelines set by insurance providers and regulatory bodies, including the Insurance Regulatory and Development Authority of India (IRDAI).
In India, term insurance policies come with specific guidelines about suicidal death coverage, particularly a waiting period, which is usually set for one year from the date the policy starts. If suicide occurs within this period, many policies offer a refund of the premiums paid rather than the full death benefit. However, once this waiting period is over, most policies provide full coverage for suicidal deaths. It's essential for policyholders to thoroughly examine their policy details to ensure they are fully aware of the terms, especially concerning waiting periods and coverage conditions.
Let’s understand this with the help of an example:
Rupa’s husband, a 35 year-old man, bought a ₹1 Crore term insurance to secure his wife (Rupa). Within the policy term, i.e., after 12 months of buying the term life insurance plan, Rupa’s husband unfortunately committed suicide due to depression. In this case, you must be wondering if Rupa will receive the death benefit. The answer is Yes. Since Rupa’s husband committed suicide after 12 months of buying the term plan, Rupa (the nominee) will receive the death benefit upon claim intimation.
Term Plans
A term life insurance plan not only covers suicide but also helps the life assured’s emotionally distraught family financially simply by paying back some amount of the premium. This also depends upon the terms and conditions mentioned in the policy. The term plans that were issued from January 01, 2014, do provide a suicide death cover to the family of the policyholder that is subjected to the listed below terms and conditions:
* You can calculate the premiums applicable for the suitable term plan cover using the term plan calculator available online.
Secure Your Family Future Today
₹1 CRORE
Term Plan Starting @
Get an online discount of upto 15%#
Compare 40+ plans from 15 Insurers
There are certain exclusions to coverage of suicide within a term life insurance plan. The term insurance company might reject the claim under the following circumstances:
Suicide is never the right decision, and it shows an individual’s inability to fight against the odds. Live for the well-being and sake of your loved ones no matter what. If a policyholder believes that a term policy can alleviate all financial concerns for their family in the event of suicide, it's crucial to remember that the payment of the death benefit is subject to the insurance company's guidelines, increasing the risk of claim rejection. In the end, the personal loss coupled with the potential denial of a term policy claim forms a harsh blow that their family may find difficult to endure.
Note: You should also check the benefits of term life insurance if you are planning to purchase a term insurance plan.
˜Top 5 plans based on annualized premium for bookings made on https://www.policybazaar.com in the first 6 months of FY 24-25.
Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. This list of plans listed here comprise of insurance products offered by all the insurance partners of Policybazaar. For a complete list of insurers in India refer to the Insurance Regulatory and Development Authority of India website, www.irdai.gov.in
+Rs. 487/month (Rs.16/day) is starting price for a 1 crore term life insurance for an 18 year-old male, non-smoker, with no pre-existing diseases, cover upto 38 years of age.
Prices offered by the insurer are as per the approved insurance plans | #All savings and online discounts are provided by insurers as per IRDAI approved insurance plans | Standard Terms and Conditions Apply | **Tax Benefits are subject to changes in tax laws.| Policybazaar Insurance Brokers Private Limited
We will respond in the first instance within 30 minutes of the customers contacting us. 30-minute claim support service is for the purpose of giving reasonable assistance to the policyholder in pursuance of the claim. Settlement of claim (including cashless claim) is the responsibility of the insurer as per policy terms and conditions. The 30-minute claim support is subject to our operations not being impacted by a system failure or force majeure event or for reasons beyond our control. For further details, 24x7 Claims Support Helpline can be reached out at 1800-258-5881
For more details on risk factors, terms and conditions, please read the sales brochure carefully before concluding a sale
Policybazaar Insurance Brokers Private Limited | CIN: U74999HR2014PTC053454 | Registered Office - Plot No.119, Sector - 44, Gurgaon, Haryana – 122001 | Registration No. 742, Valid till 09/06/2027, License category- Composite Broker Visitors are hereby informed that their information submitted on the website may be shared with insurers. Product information is authentic and solely based on the information received from the insurers.
© Copyright 2008-2025 policybazaar.com. All Rights Reserved
+Rs. 820/month is starting price for a 2 crore term life insurance for an (NRI) 18 year-old male, non-smoker, with no pre-existing diseases, cover upto 38 years of age.
+Rs. 1,443/month is starting price for a 5 crore term life insurance for an (NRI) 18 year-old male, non-smoker, with no pre-existing diseases, cover upto 38 years of age.
In Madhya Pradesh, the loss of a primary earner can place
Read more
ICICI Prudential Life Insurance Income Replacement Plan is a
Read more
In Himachal Pradesh, where families often rely on agriculture
Read more
The ICICI Prudential Life Insurance Income Replacement Plan is a
Read more
In Meghalaya, where the per capita income is lower than many
Read moreInsurance
Calculators
Payment Methods
Secured With
Follow us on
