Derry took the lead with only nine minutes left after Shane McGuigan’s goal was followed by Conor McAtamney and Christopher Bradley points.
However, Darren McCurry’s goal a minute later restored Tyrone’s lead before they pulled clear late on.
Cathal McShane hit seven points for Mickey Harte’s side.
Despite their winning run in Division Four, which saw them comfortably clinch promotion, few gave Derry much hope of being competitive in Sunday’s game.
But the Oak Leafers confounded the experts by staying in the game and then taking a shock lead in the 61st minute through substitute Bradley’s point, following McGuigan’s goal six minutes earlier.
However, Derry’s lead was snuffed out within a minute as McCurry, who was introduced on 50 minutes, produced a classy finish low to Thomas Mallon’s left when others would have been content to pop over a point.
Three further quick Tyrone points – including two McShane efforts – ended Derry’s resolve as Red Hand fans breathed a sigh of relief.
Derry will come out of the contest with more credit than the Red Hands as goalscorer McGuigan, all-action midfielder Padraig Cassidy and Enda Lynn starred for Damian McErlain’s side.
Five of McGuigan’s 1-6 tally came from frees, but he was a constant threat in open play – best exhibited by his superb finish for his goal after being cleverly set up by the playmaking Lynn.
Derry also will not need reminding that they should have netted as early as the first minute with late inclusion Jason Rocks unable to beat Niall Morgan from point-blank range after the Tyrone defence had been badly exposed.
As Peter Harte and Niall Sludden were among the Tyrone stars to struggle in the first half, they had to rely on McShane’s four points from play as he conclusively won his expected aerial battle with Brendan Rogers.
One of seven Slaughtneil men to start, Rogers fared better in the second half as he was able to make a couple of trademark forays into opposition territory.
Rocks’ missed goal chance seemed set to be an early blow from which Derry would be unlikely to recover, as McShane fired a three-point opportunity of his own over the bar before two quick scores by fast-starting midfielder Richie Donnelly.
McGuigan finally opened Derry’s account in the 12th minute but, without looking particularly impressive, Tyrone responded with three further scores of their own to move 0-6 to 0-1 ahead after 16 minutes.Despite Tyrone’s lead, Mickey Harte was concerned enough to introduce All-Star Colm Cavanagh for debutant Brian Kennedy at that stage, although the Moy man was replaced himself midway through the second half.
Tyrone indiscipline helped Derry to get back in touch as two difficult frees were turned into gimmies by Roscommon referee Paddy Neilan following Red Hand protests.
Free-takers McGuigan (0-3) and Bell (0-2) kicked five of Derry’s seven first-half points with McGuigan and the lively Ciaran McFaul both on target from play.
After leading by three at the break, the Red Hands’ anticipated third-quarter powerplay didn’t materialise as successive McGuigan points left only two in it after 48 minutes before a Harte free was followed by McGuigan’s stunning levelling goal.
Lynn was the creator as – not for the first time – he outsmarted Michael McKernan before delivering a perfectly-weighted pass to the charging McGuigan who hammered past Morgan and into the roof of the net.
Tyrone regained the lead three minutes later thanks to a McShane free but an astonishing upset seemed in the offing as superb points from substitutes McAtamney and Christopher Bradley saw the Oak Leafers take the lead for the first time on 61 minutes.
However, the Red Hands regained the lead within a minute as Derry found themselves outnumbered in defence following a turnover, with McCurry supplying the most accomplished of finishes.
As Derry finally ran out of legs, Tyrone hit five of the remaining six scores to leave a final margin which flattered the Red Hands.