Meaning
Maturity Benefit is the amount an insurance company pays to the policyholder when a life insurance policy ends or “matures.” It is paid only if the insured person survives the policy term. The maturity benefit may include the sum assured, bonuses, and loyalty additions, depending on the plan.
Example
If you have a 20-year life insurance plan, the insurer will pay you the maturity benefit after 20 years if you are alive.
It helps people achieve financial goals like children’s education or retirement savings.
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