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Check Everything About Overseas Life Insurance

Updated On Jan 10, 2024

Planning to study abroad and wondering about getting a life insurance policy? Well,  whether you're a student heading abroad or a family member worried about your child, this article on “Overseas Life Insurance for Indian Students” is here to help you understand everything easily and make smart decisions for a safe future.  

Here, we will discuss the meaning of overseas life insurance, the good things about these policies, and the challenges you might face.

Understanding Overseas Life Insurance

Overseas life insurance is a type of life insurance policy designed to provide coverage for individuals who live and work outside their home country. This type of insurance is particularly relevant for students who shift abroad for study or job purposes. 

Some of the key features of Overseas Life Insurance are as follows:

  • Overseas life insurance typically provides coverage worldwide, allowing policyholders to be protected no matter where they reside or travel.
  • Policies can be denominated in various currencies that further provide flexibility for individuals living and earning income in different currencies. 
  • Premiums for overseas life insurance might be higher than those for domestic policies due to the increased risks associated with living abroad.
  • The underwriting process for overseas life insurance may involve considerations related to the student's health, lifestyle, and the country in which students reside.

NOTE: Before purchasing overseas life insurance, students should thoroughly research and compare top policy options from reputable insurance providers. Moreover, seeking advice from us can also help you in making informed decisions based on your needs and circumstances. 

The Importance of Life Insurance for Students

The following are the advantages of life insurance for Indian students studying abroad:

  • Loan Repayment: It helps cover outstanding student loans, preventing a financial burden for family members.
  • Support for Dependents: Overseas life insurance for students offers support to dependents or family members who rely on the student's income.
  • Medical Expenses: This kind of insurance policy can assist parents with medical bills or debts incurred due to a student's health issues.
  • Peace of Mind: Life insurance for students studying abroad reduces financial stress for them and their families. This moreover fosters a sense of security. 
  • Long-Term Value: As some insurance policies accumulate cash value over time, so overseas life insurance might provide additional financial resources in the future.

Top Life Insurance Plans for Indian Students Residing Abroad

Below is the list of the top three life insurance plans for Indian students residing abroad along with the details of their life cover and eligibility:

Insurance Company

Life Coverage

Maximum Age for Coverage

Canara HSBC iSelect Smart360

Rs. 25 lakhs

35 Years

Aegon Life iTerm Prime

Rs. 25 lakhs

35 Years

Aegon Life iTerm Comfort

Rs. 25 lakhs

35 Years

Why do Students Staying Abroad Buy Life Insurance Policies from India?

Below mentioned are the reasons why overseas students should buy life insurance:

  • Currency Stability: Policies in Indian Rupees may provide stability against currency fluctuations, especially if the student plans to return to India.
  • Lower Premiums: Life insurance policies in India may have comparatively lower premiums than policies in some foreign countries.
  • Ease of Communication: Policies purchased from India may have terms and documentation in a language familiar to the student and their family. This can facilitate better understanding and communication.
  • Familiarity with Providers: Students and their families may be more familiar and comfortable with insurance providers in India in comparison to the ones operating in foreign countries. 
  • Easy Claim Settlement Process: Indian life insurance policies may offer a convenient claim settlement process, allowing the student's family to handle claims without the need to visit a foreign land in the event of the student's death. 
  • Coverage for India Visits: Policies from India may cover the students when they visit India, offering continuous protection.
  • Long-Term Planning: Students may view Indian life insurance as a part of their long-term financial planning, especially if they intend to settle in India eventually.
  • Exchange Rate Considerations: Students may prefer policies in Indian Rupees to avoid uncertainties related to exchange rates.

Challenges of Students in Procuring Life Insurance

The challenges that a student might face while buying a life insurance policy involve the following:

  • Financial Constraints: Students typically have limited financial resources and the cost of premiums can be a significant barrier for them. 
  • Lack of Awareness: Students might not be fully aware of the importance of life insurance or may lack a clear understanding of how it works. The complex terminology and variety of policy options can be overwhelming for them. 
  • Underwriting Challenges: Students may face challenges in meeting the underwriting criteria, especially if they have pre-existing health conditions or engage in high-risk activities.
  • Complicated Application Process: The application process for life insurance can be time-consuming and may involve medical examinations and detailed documentation. Students might find this process cumbersome.


As you begin the exciting journey of studying abroad, it becomes increasingly important to understand the significance, benefits, and difficulties associated with overseas life insurance. Getting Overseas Life Insurance is not just about financial protection; it's also about peace of mind for you and your loved ones. Also, make sure you explore the available plan options and tackle the challenges with awareness. 

Frequently Asked Questions (FAQs)

  • Why do I need life insurance as a student abroad?

Ans. Life insurance ensures financial security and covers aspects like loan repayments, medical expenses, and support for dependents.

  • Can I visit India and still be covered by my overseas life insurance?

Ans. Policies from India may cover students during visits to India, offering continuous protection.

  • How do Indian policies simplify the claim settlement process for families abroad?

Ans. Indian life insurance policies offer a convenient claim settlement process, allowing families to handle claims without visiting a foreign land in case of a student's demise.

  • How can students overcome challenges in purchasing life insurance abroad?

Ans. Overcoming challenges involves thorough research, seeking advice, and understanding policy options from InsuranceDekho to make informed decisions.


This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.

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