Prices Increasing soon Prices Increasing Soon

Does Term Insurance Cover Suicidal Death?

Mr Anand Kumar is an IT professional who took a home loan of Rs 20 lakh against the term insurance cover of Rs 1 Crore. Within the policy term, i.e., 12 months after the issuance of the term life insurance plan term, due to depression, Mr Kumar committed suicide. However, the liability for the loan wasn't passed on to Mr Kumar's dependents. Instead, the term insurance company repaid the home as per the clause of suicide within the term policy, as the insurer received this information on the assignment policy before the demise date of Mr Kumar.

Read more
Gets ₹1 Cr. Life Cover at just
COVID-19 Covered
The Policybazaar Advantage
Dedicated claim support for family FREE
Upto 10% discount for buying online
Only certified experts will call you on 100% recorded lines
We are rated~
6.7 Crore
Registered Consumers
Insurance Partners
3.4 Crore
Policies Sold

#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:-

Life is Unpredictable! Protect your family’s future
Get ₹1 Crore Life cover starting from ₹384/month+
We don’t spam
Check Your Premium Now
Please wait. We Are Processing..
Get Updates on WhatsApp
The Policybazaar Advantage
Policybazaar Advantage Icon
Dedicated claim support for family FREE
Policybazaar team will help and support you at the time of claim. A personal claim handler from our team of experts will get in touch with you when your nominee applies for a claim on our website.
Policybazaar Advantage Icon
100% calls recorded to ensure no mis-selling
We will make sure you get what is promised by the advisors. We conduct regular monitoring of our calls to make sure you get the best experience.
Policybazaar Advantage Icon
Exclusive lifetime discount upto 5% for buying online
The discounts will be valid for the entire policy payment term and is not available if you choose to buy the insurance through offline agents.
Policybazaar Advantage Icon
Advisors available in your city
Our advisors are available in more than 55 cities across India and can help you at your doorstep in understanding the plans and in documentation.
Policybazaar Advantage Icon
Refund at the click of a button
In case you aren’t happy with your purchase, you can cancel your policy hassle-free at the click of a button. We will help you with the cancellation and refund of your policy.

Why Should Term Insurance Cover 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. As per the data of the World Health Organisation, the suicide rate standardized in India stands at 16.4 per 1,00,00 for women, that are sixth highest in the world and 25.8 when it comes to men and ranks twenty-second. The common reasons behind suicide could be mental illness, lifestyle ailments, and financial debts, so forth.

The Insurance Regulatory and Development Authority of India has amended the clauses of suicide for the term life insurance plan that was bought after 2014. In the term insurance policies that were issued before 2014 January 01, the nominee will not receive any death benefit in case the insured passes away due to suicide.

one crore term plan

Term Plans


Life Cover

@ Starting from ₹ 16/day+


Life Cover

@ Starting from ₹ 8/day+


Life Cover

@ Starting from ₹ 12/day+

Does Term Insurance Cover Suicidal Death?

People who understand what is term insurance and its benefits know that term plans today cover death due to suicide, but only in certain conditions. This plan helps financially and emotionally disturbed life-assured families by paying back some of the premium. But it all depends on the T&Cs of the plan. Term plans, which are issued from the date 1st January 2014, provide suicidal death coverage to the family of assured subject to the T&Cs. Check out the best term insurance plan in India and choose one that suits your requirements.

Did You Buy the Term Life Insurance Policy Before January 01, 2014?

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:

  • The suicidal death cover of a term life insurance plan is only applicable if the policy has been issued for 12 months or twelve months after the revival. In case the policyholder passes away due to suicide within the above-mentioned situations, the nominee will be paid the complete sum assured or, as per the policy clause, receive the death benefit. The coverage of suicidal demise after a year was simply to prevent insurance frauds wherein any individual stuck in debt of finances will take an undue benefit of buying the term insurance policy and then will commit suicide so that the family can claim the death benefit. The insurance companies assume that a one-year time frame would be enough to discourage the policyholders and prevent them from making such an extreme choice due to the financial crisis.
  • The above-mentioned clause for the term life insurance plan has been relaxed to cover suicide demises occurring with the term policy issuance of 12 months or the policy revival. In case the policyholder commits suicide within this frame of 12 months of the issuance of a policy or the revival the nominee will not receive complete death benefits, however, the term insurance company will pay a benefit to the nominee that equal to a specific percentage of the paid premium by the policyholder during the policy term.

* You can calculate the premiums applicable for the suitable term plan cover using the term insurance calculator available online.

one crore term plan

Secure Your Family Future Today


Term Plan Starting @ ₹449/month+

Get an online discount of upto 10%+

Compare 40+ plans from 15 Insurers

+Standard T&C Applied

What are the Exclusions of Suicide Cover in the Term Insurance Plan?

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:

  • If the policyholder passes away within 12 months of the policy being issued or the revival, then the nominee will receive a specific percentage of the plan premiums the policyholder pays. It is important that the term life insurance plan is active and the age of the policyholder at revival or entry is eight years and above.
  • If the policy term has lapsed without the paid-up value being realized, then no claim will be paid to the nominee when the policyholder commits suicide.
  • In case the nominee passes away before, the proceeds of the term life insurance plan are payable to them upon the suicide of the policyholder. The legal heir will be eligible to receive the death benefit.
  • In case any concealed or misleading information is given to the insurance company by the policyholder at the time of policy enrollment, it will lead to the rejection of a claim by the nominee.

Wrapping it Up

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.


  • Q: Does term insurance cover suicidal deaths?

    Ans: Term insurance is a financial tool that helps individuals secure the future of their loved ones in the event of their unfortunate death. While term insurance usually covers deaths due to most causes, including suicide, there are certain conditions attached to it. Death due to suicide is covered only after the completion of 1st policy year. Until then, if the policyholder commits suicide, only 80-90% of the premiums paid are returned to the nominee.
  • Q: Is term insurance cover suicidal death?

    Ans: Term insurance cover in suicidal death refers to the amount of the benefit payable to the nominee of the policy in case of the policyholder’s untimely death due to suicide. Death due to suicide is covered in term insurance, but if the death occurs within the 1st year of policy purchase or revival, only 80-90% of the premiums paid will be payable, whereas if the death occurs after the 1st year, the entire sum assured will be payable as per the T&Cs of the policy.

Premium By Age

Term insurance articles

  • Recent Article
  • Popular Articles
05 Jun 2024

Why Should You Consider Inflation When Buying a...

The retail inflation of India rose to 5.69% in December 2023

Read more
29 May 2024

Term Insurance for Individuals with 25K Salary

Securing your family's future is essential, especially when

Read more
28 May 2024

'Har Family Hogi Insured' Policybazaar's Vision...

Empowering Every Household: policybazaar's Commitment to

Read more
23 May 2024

Term Insurance for Individuals with a 35K Salary

Securing your financial future is essential, especially when

Read more
07 May 2024

Term Insurance for 45K Salary Individuals

In life, unpredictability looms large, and while you may

Read more
20 Aug 2014

Term Insurance for Women in India

Term insurance for women is a type of life insurance specifically designed for fulfilling women’s needs and

Read more
03 Dec 2020

What Is Saral Jeevan Bima

Saral Jeevan Bima (SJB) is a simple term insurance plan that offers financial protection for policyholder’s

Read more
13 Apr 2021

2 Crore Term Insurance Plan

2 Crore term insurance provides cover amount of 2 Crore as death benefit to your family in the event of your

Read more
07 Mar 2023

TATA AIA Smart Sampoorna Raksha Param Rakshak Plus

TATA AIA Smart Sampoorna Raksha Param Rakshak Plus is a comprehensive life insurance policy for individuals

Read more
Need Help? Request Callback
View Plans
Download the Policybazaar app
to manage all your insurance needs.