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What are the rights of an Israeli citizen who works/studies overseas for 2 years
or more?

The law came into effect as of 1st March 2001. From that time on, if a person was overseas and did not pay the Bituach Leumi premiums, he/she is not entitled to automatic cover upon return. There will be a waiting period of 2 months for every year overseas and, of course, the back payments must be made. (Minimum waiting period – 4 months)

N.B.
A "Year" is if one spent more than 182 days (not necessarily consecutively) overseas.
Therefore, if you or any of your kids fall into this category, make sure you contact Bituach Leumi and keep paid up.

See their web site: www.btl.gov.il