Is a return-of-premium term life policy worth the extra cost?

A return-of-premium (ROP) term policy refunds all your premiums if you outlive the term, which sounds appealing but comes at a steep price, often 30% to 50% more than a plain term policy. The catch is opportunity cost: if you instead bought cheaper standard term and invested the premium difference in index funds, you would very likely end up with more money than the refund, and the refund itself is not adjusted for inflation. ROP can make sense for someone who would otherwise never invest the difference and values the forced savings and the psychological win of getting money back. For a disciplined investor, buy level term and invest the gap. Compare both scenarios before committing.