Yes, if you simply suspend your laptop on most stock Linux distributions, then everything including the master key is still kept in memory. But Debian pioneered the (optional) cryptsetup-suspend addon. This issues a luksSuspend command which is supposed to wipe the key from memory, and on resume asks you to resupply your passphrase.
Up to kernel 6.8, this worked as described; starting with kernel 6.9, it silently didn't.
makes me wonder if there is potential for a more "main stream"/by default friendly version of this, where the key during suspend is encrypted using the TPM even if the TPM isn't a possible unlock from cold boot (i.e. no TMP encrypted volume key in the LECS headers/meta only temporary in memory during suspend)
or the alternative (for more convenient usage) for single user systems auto login on boot + use disc password for doas/sudo?
I've been wondering why hibernate didn't work with encryption, because this seems like the extremely obvious way to handle it, but I have struggled to find anything about it for years - glad to hear it does exist!
But yeah, also rather obviously it's inherently a bit leak-prone. Though it seems probably pretty simple to test, just hibernate and scan all stored data. They could probably even do it on shutdown, as a hash of the key data would be sufficient to detect the key.
FYI: VeraCrypt is not the defacto encryption software for Windows.
So you would still be asked for a passphrase, even though it's already available?