Death Benefit is the amount paid to the nominee on death of the life insured. For a typical Indian endowment policy, it is defined as the higher of: (a) Sum Assured on Death, often 10× annual premium or 105% of premiums paid, whichever is higher, and (b) the Sum Assured + Vested Bonus + FAB at the time of death.
Death benefits from a life insurance policy are always tax-free under §10(10D) — no conditions attached, regardless of the 10× SA rule that governs maturity tax treatment.