The policeman died after he received bullet injury during the encounter with last night, Superintendent of Police A V Homkar told reporters here.
"Four Maoists were arrested after the gun battle," he said.
The rebels attacked the police team when it went to the village in search of an extremist involved in the jail van attack in which some Maoists escaped on November 9 last year, he said.
Chhotka Marandi, one of those escaped that day, is one of the four arrested.