About Employee State Insurance:
Employee State Insurance is a self-financed comprehensive against all sort of events of sickness, maternity, disablement and death due to employment injury and to provide medical care to the insured employees and their families. This Social Security Scheme is for social protection of the covered 'employees' in the organized sections.
Applicability:
ESI is mandatory for all those entities employing 10 or more people all together. Any employee who has an income less than Rs. 21,000 per month contributes 1.75% of his/her salary towards the ESI and as per the employer, they pay a 4.75% towards the ESI making a total of 6.5% which has to be paid to their employees.
Entities covered under ESIC
1. Shops
2. Restaurants or Hotels only engaged in sales.
3. Cinemas
4. Road Motor Transport Establishments
5. Newspaper establishments which are not covered below the factory act)
6. Private Educational Institutions
Benefits of ESI:
If you register under the ESIC scheme, then the benefits of the same are mentioned below These are:
If any illness persists for a period of more than 91 days in a year, then there is a sickness benefit which is provided at the rate of 70% (in the form of salary).
Medical benefits for the employee and his family members.
Maternity Benefit for women (paid leaves)
Funeral expenses
If there is a demise of the employee while on work, then 90% of the salary is given to his dependents every month after the death of the employee
Oldage care medical expenses
