As citizen of India ( Green Card or H-1B ) US-India treaty would apply when you receive the benefits. I will have to go back and re-read that portion and come back. Generally, the benefits may be taxable only when distributed ( i.e. the growth ) if and only if you are a resident of the USA at the time. The contribution to such life insurance policy ( whole life ) is not tax deductible -- same as for US policies. Will come back on the treaty
