Pass English, covering stage in educational institution (7)
I believe the answer is:
college
'educational institution' is the definition.
(college is a kind of educational institution)
'pass english covering stage' is the wordplay.
'pass' becomes 'col' (col is a kind of pass**).
'english' becomes 'e' (abbreviation).
'covering' is an insertion indicator.
'stage' becomes 'leg' ('leg' can be a synonym of 'stage').
'col'+'e'='cole'
'cole' enclosing 'leg' is 'COLLEGE'.
'in' is the link.
(Other definitions for college that I've seen before include "Place of higher education" , "Where one learns" , "University establishment" , "Institution of learning" , "SECOND PART OF 20" .)