I am sharing the link to my post on this topic..
http://www.traderji.com/insurance/34534-regarding-new-jeevan-shri.html#post395211
Look at the return table that is shown by Aviva on their site ("What I am going to get" section )
http://www.avivaindia.com/library/flash/Advertisement/illustrations/youngscholarplan.html
In best possible case, u are just earning 8.21 % return. And I doubt if they have taken care of charges while showing this.
And don't forget to check "What are the charges I am paying?" section.
Basic formula of calculating return on annuity (series of recurring payments) over long period is
FV = PV * [ {(1+r) Power N }-1]/r
read more on this link -
http://en.wikipedia.org/wiki/Future_value
If you take consrevative value of rate of return at 12% (r = 0.12) in above formula and raise it to power of 20 for 20 yrs duration then you get the multiplying factor of 72+.
So even if you pay 10k to get insurance cover of 5Lac and put 90k regularly in fund that is giving 10% return.. your final capital will be 90k * 72 = 64.8 lac at the end.
For return at 15%, the numbers will be multiplying factor = 102, final sum = 92 Lacs.
So take a informed financial decision based on your requirement.
Happy investing for your child.