Can Apple Care + gives in India on loss or theft of Iphone?

See this about AppleCare+ Theft and Loss. iPhone Theft and Loss Claims - Official Apple Support

You have to have made the purchase of that specific AppleCare+ when you purchased the phone. Not all AppleCare+ covers Theft and Loss. There is a link there for filing a claim. However, India is not listed in the country list, so I'm not sure you have it. Where did you purchase the device?

If you purchased the basic tier AppleCare+, you cannot file a claim for a device replacement. If you purchased the premium AppleCare+ with Theft and Loss Coverage, you can file a claim.

Note that if you have Theft and Loss Coverage and want a replacement, you'll have to file a claim and have it sent to your original country of purchase. India is not supported on Apple's list of Available Countries to have a replacement unit sent to you on the road.

Remember that Find My needed to be enabled when the device was lost and remains on and tied to your Apple Account throughout the entire process. You also need to know your Apple Account credentials to log into Find My because you will be asked to erase your missing device, disable it, and transfer ownership before you can be issued a new device.

iPhone Theft and Loss Claims - Official Apple Support

Read the policy. I don't believe Apple sells theft and loss protection in India.

AppleCare+ alone does not include theft insurance. It just provides some coverage for repairs and for technical support. You need to have purchased AppleCare+ with Theft and Loss. Did you?

You may find these articles useful – though they are not about insurance.

If your iPhone or iPad was stolen - Apple Support

Do's and Don'ts for lost iPhones - Switched Off - Offline - Beware of Phishing – Apple Community

You may never get your phone back, but if you were using "Find My", you may be able to take some comfort in using Activation Lock to keep the thieves from "making your phone their own."