Yes, It is Postal Life Insurance Maturity Amount Taxable. Postal Life insurance was introduced on 1st Feb 1884 as a welfare scheme for the benefit of postal department employees which was later extended to the employees of the telegraph in 1888. Postal life insurance covers the life of customers against death or disability and is the same as the term life insurance or any other life insurance products. Postal life insurance offers a different range of products such as Whole life insurance, Annuity insurance, term insurance, etc.