When choosing a term plan, the most important decision isn’t just how much cover to buy - it’s
which
insurer to trust.
The best term insurance company is one that combines a high claim settlement ratio, affordable
premiums,
and transparent service.
PolicyBachat compares 20+ IRDAI-approved insurers side by side so you can choose
confidently - with real data, not marketing.
This guide ranks the best term insurance companies in 2025 based on claim performance,
features,
customer reviews, and value for money.
Top 7 Term Insurance Companies in 2025
| Rank |
Company |
Claim Settlement Ratio (CSR) |
Avg. Premium (₹1 Cr cover, age 30) |
Key Features |
| 1 |
HDFC Life Insurance |
99.7% |
₹11,200 |
Strong digital claims, wide coverage options |
| 2 |
ICICI Prudential Life |
99.5% |
₹10,900 |
Fast settlement, flexible payouts |
| 3 |
Max Life Insurance |
99.6% |
₹10,400 |
Highest claim ratio, high customer trust |
| 4 |
Tata AIA Life Insurance |
99.4% |
₹10,700 |
Premium whole-life and CI rider options |
| 5 |
Bajaj Allianz Life |
99.3% |
₹9,900 |
Great digital experience & add-ons |
| 6 |
SBI Life Insurance |
98.9% |
₹9,600 |
Budget-friendly for large coverage |
| 7 |
PNB MetLife |
98.7% |
₹9,300 |
Good service reach & family protection focus |
(CSR data sourced from IRDAI's latest Annual Report.)
How To Choose The Best Term Insurance Company
- Check Claim Settlement Ratio (CSR): Should be 95%+ for reliability.
- Compare Premium vs Coverage: Avoid underinsured low-cost plans.
- Look at Add-ons Offered: Critical Illness, ADB, WOP, Income Rider.
- Evaluate Claim Process Speed: Faster = more trustworthy.
- Read Customer Reviews: Focus on claim experience, not just purchase.
- Check Financial Stability: High solvency = stronger long-term backing.
Comparison Snapshot - Claim Ratios & Features
| Insurer |
CSR (%) |
Claim TAT (Days) |
Add-ons Available |
Unique Feature |
| HDFC Life |
99.7% |
2 |
CI, ADB, WOP, Income |
3-hour claim promise |
| ICICI Prudential |
99.5% |
3 |
CI, ADB |
Online medical tests |
| Max Life |
99.6% |
2 |
CI, ADB, WOP |
Highest CSR 98.1% |
| Tata AIA |
99.4% |
3 |
CI, RTI, Whole-Life |
Strong NRI coverage |
| Bajaj Allianz |
99.3% |
1 |
CI, WOP, ADB |
Instant issue under 1 hr |
| SBI Life |
98.9% |
4 |
CI, ADB |
Affordable & simple interface |
| PNB MetLife |
98.7% |
4 |
CI, WOP |
Family-focused bundles |
Premium Comparison (₹1 Cr Cover, 30-yr Term, Non-Smoker)
| Insurer |
Annual Premium (₹) |
Payment Options |
Claim Ratio |
| HDFC Life |
₹11,200 |
Yearly/Monthly |
99.7% |
| ICICI Prudential |
₹10,900 |
Yearly/Monthly |
99.5% |
| Max Life |
₹10,400 |
Yearly/Quarterly |
99.6% |
| Tata AIA |
₹10,700 |
Yearly |
99.4% |
| SBI Life |
₹9,600 |
Yearly |
98.9% |
(Based on PolicyBachat’s live quote engine.)
Best Insurer By Category
| Category |
Best Company |
Why |
| Overall Claim Ratio |
Max Life |
98%+ consistent record |
| Digital Process |
HDFC Life |
3-hour digital claims |
| Lowest Premium |
SBI Life |
Competitive pricing |
| Best for Add-ons |
Tata AIA |
Comprehensive rider flexibility |
| Best for NRI Buyers |
ICICI Prudential |
Global underwriting access |
| Best for High Sum Assured (₹2 Cr+) |
Bajaj Allianz |
Strong financial solvency |
| Best for Couples / Joint Life |
PNB MetLife |
Affordable spouse add-ons |
Local Insights
- Top 3 preferred insurers: HDFC Life, ICICI Prudential, Max Life.
- Avg. premium (₹1 Cr, 30-year-old): ₹11,000.
- % of users buying online: 65%.
- Average claim settlement time: 12 days.
Why PolicyBachat Is The Best Place To Compare Insurers
- Access to 20+ IRDAI-approved insurers.
- Transparent CSR and premium data.
- Side-by-side comparison of riders, payouts, and features.
- Free claim assistance and documentation help.
- Instant e-policy download after purchase.
How To Compare Term Insurance Companies Online
- Visit PolicyBachat.com → Term Insurance → Compare Companies.
- Enter age, income, city, and tobacco status.
- Choose coverage (₹1 Cr+ recommended).
- View live quotes with CSR and premium side by side.
- Pick your preferred insurer and buy policy instantly.
FAQs
Which is the best term insurance company in India?
Companies like Max Life, HDFC Life, and ICICI Prudential top the list for CSR above
95%.
What is claim settlement ratio (CSR)?
The % of claims approved by an insurer - higher = more reliable.
Is a higher CSR always better?
Yes, but also check claim speed and customer service.
Which insurer offers the cheapest premium?
SBI Life and Bajaj Allianz often provide low-cost plans for ₹1 Cr+ coverage.
Which company settles claims fastest?
HDFC Life and ICICI Prudential - often within 24-48 hours of submission.
Can I buy from multiple insurers?
Yes, you can hold more than one term policy for extra coverage.
Do all insurers have the same riders?
No, some differ - always compare CI, ADB, WOP availability.
How to verify an insurer’s claim ratio?
Check IRDAI Annual Report or PolicyBachat comparison section.
Are online insurers safe?
Yes, all listed insurers are IRDAI-licensed and regulated.
Which insurer is best for NRIs?
ICICI Prudential and Tata AIA have strong NRI underwriting and claim support.
Do women get cheaper premiums across all insurers?
Yes, 5-10% lower due to longevity advantage.
Can insurer change premium later?
No, term plans have level premium - fixed for the full term.
What’s the best claim ratio threshold to look for?
Anything above 95% is considered strong.
Does claim ratio differ by plan type?
Marginally - pure term plans usually have higher CSRs than investment-linked policies.
Can PolicyBachat help with claim filing?
Yes, our Claim Assist Desk helps nominees file and track claims till settlement.
Customer Reviews
- “Found all claim ratios in one place - saved so much time.” - Anirudh Bhatia,
Delhi
- “Max Life had best CSR - went with them instantly.” - Riya Deshmukh, Pune
- “Great breakdown of features; very transparent.” - Sandeep Rao, Hyderabad
- “PolicyBachat comparison tool is super easy to use.” - Kavya Nair, Kochi
- “I could finally compare all big brands together.” - Deepak Sharma,
Bengaluru
- “Perfect for first-time buyers - clear, data-backed info.” - Anita Pillai,
Mumbai
Featured