Path A — Borrower life cover linked to the loan
Check insured person, sum assured, reducing/fixed cover, beneficiary or claim settlement mechanics, exclusions and what happens after prepayment.
Path B — Student-specific cover
Check whether the product covers interruption, accident, disability or another defined event. Do not assume it pays the loan merely because it is sold with an education loan.
Path C — Premium financed by the lender
Add the premium to the principal and calculate interest paid on it. Compare that all-in cost with equivalent standalone protection.
Path D — Cover you did not clearly choose
Ask for the policy, premium invoice, KFS/disbursal disclosure and consent record. Challenge lender-side disclosure and insurer-side policy issuance through the appropriate channels.