Term Plans Endowment Plans
Term plans provide only protection for a specified policy duration Endowment plans provide both protection & investment component within
Only death benefit offered It offers both death benefit & survival benefit (comprising of returns in terms of bonuses)
It mainly covers loss of income due to sudden loss of life It helps build a corpus for any major cash requirement situation during the course of policy duration or on maturity like Children’s education, marriage, purchase of house/property, retirement planning etc.
Premiums are cheaper compared to an endowment plan Premiums are higher compared to term plans
Pure Term Or Term with return of premium are its versions Pure Endowment and Anticipated Endowment (money back plans) are its version