Quick Overview
Axis Bank distributes term plans through a long-standing bancassurance partnership with Max Life. Max Life is a major private life insurer with a nationwide presence, a large asset base, and a growing digital footprint. Axis Bank also owns a minority stake in Max Life Insurance, which was later rebranded to Axis Max Life, reflecting the bank’s continued investment and confidence in the insurer.
Axis Bank sells these life insurance products through its branches and relationship managers and earns commissions for distribution. However, it does not design the products, underwrite risk, or handle claims. These responsibilities rest solely with the insurer.
Benefits of Buying Term Insurance Through Axis Bank
- Convenience for Existing Customers: Relationship managers help with forms, documentation, and medical scheduling. Premiums can be auto-debited, reducing the risk of missed payments.
- Access to Reputed Insurers: Axis Bank distributes term plans from well-rated life insurers such as Axis Max Life, Tata AIA, and LIC. Axis Max Life is known for a high claim settlement performance of 99.62% (Avg 2022-25) among private insurers.
- Guided Product Configuration: The bank acts as a single touchpoint to help customers navigate term plan variants such as increasing cover, return-of-premium, or joint life options.
Practical Things to Remember When Buying Term Insurance Through a Bank
Confirm Who the Insurer Is
Banks distribute policies on behalf of insurers. The insurer designs the product, underwrites the risk, and handles claims. Always ask for the insurer's name, the plan's UIN, and the official brochure before deciding.
Compare Pricing and Evaluate Plan Type
Match the same configuration with direct online quotes, as banks are not always the cheapest channel. Also, evaluate the plan type itself. Variants like Return of Premium increase costs, while Group Term Plans may not offer long-term continuity if you exit the group. For lasting family protection, a standard individual term plan is usually the most dependable.
Disclosures and Documentation
Provide accurate health and lifestyle disclosures (tobacco, alcohol, BMI, medical history, medications, and occupation) and maintain copies of the proposal form, benefit illustration, medical reports, receipts, and policy schedule. Incomplete disclosures and missing paperwork are common sources of claim friction later.
Set Up The Nominee Correctly
Ensure nominee details are accurate and updated. If the nominee is a minor, an appointee must be added. Update nominee details after major life events.
Clarify Servicing Expectations
Ask who will handle servicing and support after purchase, especially for changes, endorsements, and claims: the bank’s Relationship Manager or the insurer’s support team.
Term Insurance Plans Available Through Axis Bank
Axis Bank prominently sells Max Life’s flagship term products, such as:
These plans offer standard features like high sum assured, level/increasing cover options, return of premium variants, and riders such as accidental death or critical illness benefits.
Aside from Max Life, Axis Bank has tied up with other life insurers. The bank may present multiple choices, but the selection is often curated rather than exhaustive.
How to Buy Term Insurance Through Axis Bank?
In 2026, you can buy term insurance through Axis Bank via three main channels:
- Digital (Self-Service): Apply directly via the Axis Mobile App or Internet Banking for a faster, paperless process.
- Branch Visit: Speak to a representative at any Axis Bank branch for in-person guidance and physical document submission.
- Relationship Manager (RM): Priority customers can have an RM manage the entire coordination, including medical scheduling and documentation.
Term insurance documents are standard across channels. See our guide on Documents Required for Term Insurance for the full KYC and medical checklist.
How Axis Bank Earns Revenue on Term Insurance?
As of 2026, Axis Bank earns revenue on term insurance through commission-based distribution under IRDAI’s Corporate Agency model:
- Commission Income: The bank earns a fee from the insurer for every policy sold. This is paid from the insurer’s acquisition budget, not as an add-on charge to the customer.
- Zero Underwriting Risk: Revenue is purely fee-based; the bank takes no financial risk for claims, which are handled entirely by the insurance company.
- Open Architecture: By partnering with multiple insurers (like Max Life or Tata AIA), the bank maximizes its revenue streams across different customer segments.
Axis Bank vs Buying Term Insurance Through an Experienced Insurance Advisor
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Ditto’s Take
Axis Bank does not manufacture term insurance. It distributes policies from selected partner insurers. This restricts choice to the insurers the bank has relationships with. Buying directly from a single insurer carries the same limitation because you only see one product.
Buying through Axis Bank can be convenient, but comparison-led digital buying is usually more cost-efficient and more flexible. If you care about pricing, suitability, and claim outcomes, comparing multiple insurers before purchasing could be the smarter approach.
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Frequently Asked Questions
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