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Published on:
January 27, 2023
By
Prudhvi Raj

ESIC And Its Applicability

The Employees' State Insurance Corporation (ESIC) is a social security organization in India that provides various benefits and protections to employees and their families in case of illness, injury, or disability. It is funded by contributions from both employers and employees and is administered by the Ministry of Labor and Employment.

Applicability of ESIC

ESIC is applicable to all factories and establishments employing 10 or more persons in the notified trades. It is also applicable to employees working in non-factory establishments with a minimum of 20 employees and a salary of up to INR 21,000 per month. In addition, ESIC is applicable to contract and casual workers, apprentices, and trainees.

The Benefits Of ESIC

The benefits provided by ESIC include:

1. Medical treatment,

2. Maternity benefits,

3. Sickness benefits,

4. Disablement benefits, and

5. funeral expenses.

Medical treatment is provided through a network of ESIC hospitals and dispensaries and includes inpatient and outpatient care, as well as diagnostic and therapeutic services. Maternity benefits are provided to female employees in the form of cash benefits for the period of confinement and the post-natal period. Sickness benefits are provided to employees who are unable to work due to illness or injury and are paid at a rate of 70% of the employee's salary. Disablement benefits are provided to employees who suffer a permanent disablement due to an employment injury and are paid in the form of a lump sum or a monthly pension. Funeral expenses are provided to cover the cost of a funeral in case of an employee's death. In addition to the benefits provided by ESIC, the organization also has a number of initiatives to promote the health and well-being of employees and their families. These initiatives include health camps, awareness programs, and occupational health services.

Conclusion

ESIC is an important social security organization that provides a range of benefits and protections to employees and their families in case of illness, injury, or disability. It is funded by contributions from both employers and employees and is applicable to a wide range of employees, including those working in factories and non-factory establishments, contract and casual workers, apprentices, and trainees. In addition to the benefits provided, ESIC also has a number of initiatives to promote the health and well-being of employees and their families.

FAQs

Here are some frequently asked questions about ESIC and its applicability, along with their answers:

1. What is ESIC and what benefits does it provide?

ESIC (Employees' State Insurance Corporation) is a social security organization that provides various benefits to employees in India. These benefits include health insurance, medical care, and financial assistance in case of sickness, disability, or death. ESIC also provides benefits to the dependents of insured employees, such as a funeral grant in case of death.

2. Who is eligible for ESIC coverage?

To be eligible for ESIC coverage, an employee must be working in a factory or establishment that is covered by the ESIC Act and must be earning a salary of up to Rs. 21,000 per month. Self-employed individuals, domestic workers, and agricultural workers are not eligible for ESIC coverage.

3. How do I register for ESIC coverage?

To register for ESIC coverage, you will need to complete the ESIC enrollment process. You can enroll online through the ESIC portal (https://www.esic.in/), or you can visit your nearest ESIC office to enroll in person. You will need to provide your personal and employment details, as well as supporting documents, such as proof of identity and proof of salary.

4. How do I make contributions to ESIC?

If you are covered by ESIC, you and your employer will need to make contributions to the ESIC fund. The contribution rates are set by the government and are based on your salary. Both you and your employer will need to pay a certain percentage of your salary as contributions, and these contributions will be deducted from your salary each month.

5. How do I claim benefits from ESIC?

To claim benefits from ESIC, you will need to submit a claim form along with supporting documents, such as medical certificates and bills. You can submit your claim online through the ESIC portal, or you can visit your nearest ESIC office to submit your claim in person. Your claim will be reviewed by the ESIC and, if approved, you will receive the benefits as per the terms of the ESIC Act.

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