Term Insurance with Return of Premium

Term Insurance with Return of Premium

In 2026, many Indian families find regular term plans "unsatisfactory" because they offer no return if the policyholder survives. Term Insurance with Return of Premium (TROP) bridges this gap, acting as a hybrid between pure protection and a savings tool by refunding your premiums at maturity.

What Is Term Insurance with Return of Premium (TROP)?

A term plan with return of premium is a life insurance policy that provides a death benefit to your family if you pass away. Still, unlike regular term insurance, it also pays a survival benefit. If you outlive the policy term, the insurer refunds 100% of the total base premiums paid during the tenure.

How Does a Term Insurance Plan with Return of Premium Work?

• Policy Selection: You choose the sum assured (e.g., ₹1 Crore) and the tenure.
• Premium Payment: You pay a fixed premium (usually 1.5-2x higher than the regular plan).
• Survival Outcome: If you survive until the end of the policy (e.g., age 65), the company returns the total premium amount (excluding GST and rider costs).
• Death Outcome: If the insured passes away, the nominee receives the full sum assured, and the policy terminates.

Features of Term Insurance with Return of Premium Plans

• Maturity Benefit: The primary feature is the "Money Back" guarantee upon survival.
• Paid-up Option: If you stop paying premiums after a certain period (usually 2 years), the policy continues with a reduced sum assured.
• Surrender Value: Unlike regular plans, TROP plans acquire a surrender value if you decide to exit early.

Benefits of Buying a Term Insurance Plan with Return of Premium

• Psychological Comfort: It removes the feeling that "money is wasted" if you stay healthy.
• Guaranteed Returns: The maturity amount is fixed and not subject to market risks.
• Dual Protection: Provides high life cover today and a lump sum for retirement tomorrow.

Who Should Buy Term Insurance with Return of Premium?

• Risk-Averse Individuals: Those who want the security of life cover but also want their principal back.
• Young Professionals: Who view it as a forced savings habit for their later years.
• Senior Citizens: Who might want a return of capital to support their post-retirement lifestyle.

1. Visit Jio Insurance Broking: Select the 'Term Insurance' section.
2. Enter Details: Provide your age, smoking status, and income.
3. Compare Quotes: View 1 crore insurance premium rates from the insurers listed above.
4. Upload Documents: Submit your PAN, Aadhaar, and income proof (Form 16/Salary slips).
5. Medical Test: Schedule a physical or video medical examination as required.

Why Buy a 1 Crore Term Insurance Plan from Jio Insurance Broking?

• Unified Platform: Compare the best one crore life insurance policy options side-by-side.
• Expert Assistance: Get end-to-end guidance from choice to claim.
• Trust & Transparency: Access 100% digital processes with no hidden agent commissions.
• Post-Sales Support: Assistance during the claim process for your nominee.

Term Insurance Calculator for Return of Premium Plans

How to Calculate

A TROP calculator requires your age, smoking status, and tenure. In 2026, it also displays the "Net Cost of Insurance," which is often zero or negative since you get all premiums back, though it factors in the time value of money.