Your husband and children are Indian nationals + you have been in a pretty long and stable marriage. There's no reason why you will not be granted Indian citizenship if you apply for it after residing in India for 7 years.
You were refused Indian citizenship because you cannot apply for it from Saudi Arabia + without meeting the residence requirements.
The answer remains the same. You have an almost zero chance of a successful asylum claim because you do not have any grounds to claim asylum.
After your application is refused, you will be asked to leave Canada or could be deported if you refuse to leave. This would effectively affect your chances of getting visas to most other countries because you would seem like a potential asylum claimant to those countries as well.
Your children are adults, right? Are they employed? If they have at least year of full-time paid work experience, they could consider immigrating to Canada through one of the economic immigration streams. They can then apply for temporary residence visas for you and your husband after they become PRs i.e. apply for your super visas when they meet income and other requirements. It's a long-term plan that you may want to consider