Employee State Insurance

Employee State Insurance

What is Employee State Insurance Corporation

Employee State Insurance Corporation or ESIC is a self-financing social security and health insurance scheme which provides medical benefit, sickness benefit, maternity benefit, disablement benefit and various other benefits such as funeral expenses or free supply of physical aids and other purposes for the employees and their family.

Units or Establishments having 10 or more employees, and drawing the wages of up to Rs.15,000 a month are required to be registered for ESIC under the ESI Act 1948. The contributions raised from covered employees and their employers at the fixed percentage of wages, fund the benefits provided by the scheme. At present, covered employees contribute 1.75% of the wages to the ESIC and covered employers contribute 4.75% of the wages, payable to their employees. The state government also contributes 1/8th share cost of the medical benefits

All Establishments and Factories employing more than 10 employees are mandatorily required to apply for ESI registration within 15 days of the ESI Act, 1948 becoming applicable to them.

Choose ESI Registration because :

  • Provides complete medical care to employees
  • It includes employee’s dependants
  • It is mandatory for units with more than 10 employees

Documents Required For ESI Registration

To be Submitted by Employer :


To be Submitted by Employees :


Advantages of ESI Registration


  • It provides complete medical benefits
  • It includes dependants
  • It can be used at different ESI dispensaries and hospitals
  • Any payments made will be reimbursed
  • It takes the needs of the disabled into account
  • Access to Medical care in ESI Dispensaries/Hospitals

Applicability of ESIC Registration


    Shops

    Hotels or restaurants not having any manufacturing activity, but only providing service.

    Cinemas

    Roadside Motor Transport Establishments

    News paper establishments

    Private Educational Institutions and Medical Institutions

In some states the minimum employees required for coverage is for 20 or more. A few State Governments have not extended scheme to include Medical & Educational Institutions.

Eligibility for ESI Registration in India