Best security features for iPad mini at high risk for theft?

Question

I'm giving my disabled sister (mental disability) a new iPad mini for Christmas.  I bought her the $300 WiFi-only model.  She lives in a group home 800 miles away.  She doesn't own a computer or have easy access to a computer (she uses the computer at her local public library).  She usually goes to restaurants and malls to get a free WiFi signal.  She's also an easy target for thieves because her disability is clearly visible.  Regardless, I want to giver her this device.  She's fairly responsible - she never lost the iPod Touch I gave her years ago. 
How should I set up her new iPad mini, before mailing it to her, to give her the best possible protection against loss/theft?  I am aware of iCloud and FindMyiPhone, which I use often.  Should I add my sister's new iPad mini to my existing iCloud account, even though we live far apart?  She could then call me whenever she loses it, and I can find it for her by using the FindMyiPhone app.  However, I'm worried about sharing an iCloud account with her -- that she may possibly download music/purchases to her iPad mini by accident, that will be charged to my iTunes account. 
Are there other apps that I can install on her iPad mini, or unknown features that I can turn on, that will help me or her find her lost/stolen device?  Remember, she will most likely need my assistance, from 800 miles away, to recover it.  
I will also consider buying insurance for her if prices are reasonable and coverage includes loss/theft. 
Thanks for any help! 

Answer 1

If you use your iCloud account, then she will also share your email, contacts and so forth.  So that both of you can have privacy, why not make her a new AppleID, create a new iCloud account for her, but you keep the password so you can login to her iCloud to track her device or remote wipe it and so forth, if ever needed.
She could then use that same AppleID for her own iTunes or App store purchases, and you could even use the allowance feature to control the spending on it, so she cannot get into trouble by mistakingly over-spending (of course she will need the password for that, but she is not likely to change it I imagine, so you would still be able to use it as well).  If you feel it necessary, you can also enable restrictions with a passcode only you know, and disable in-app purchases or set up other restrictions like that if you worry she may unknowingly work up a tab in purchases without realizing they were for fee items.
Another thing you may want to set up is two-step verification of her AppleID, with your own iPhone or iPad as (at least one of) the trusted devices.  The advantage is two-step removes the security question feature for an AppleID, and gives you a verification code that will ensure you can always recover her AppleID no matter what.
You should also put a passcode on it, and set the passcode lock to come on immediately (that is, it becomes effective the moment the screen sleeps or is put to sleep manually with no time out or delay).  Your choice whether to also set the device to auto-wipe content after several failed passcode attempts.
Other than that, I think that is about as secure as can be for any iOS device.  If she does not mind, she could even use a complex passcode instead of the simple 4-digit one - maybe something derived from a phrase she can easily remember ("Thanks for the iPad!" = T4tiP! or something like that).
Just a P.S. while Apple's own AppleCare+ does cover accidental damage, beware that it does not cover loss or theft.  So if you do want insurance, you will need to buy it from a 3rd party vendor.