The declare quantity is linked to the typical of the provident fund account steadiness of an worker and is payable to the nominee of the worker.
The federal government has issued a gazette notification enhancing the profit beneath the Staff’ Deposit Linked Insurance coverage Scheme (EDLI). Via a gazette notification dated April 28, 2021, the utmost assurance profit payable within the EDLI Scheme has been enhanced to Rs. 7 lakh from the sooner most good thing about Rs.6 lakh. Earlier, in September 2015 the advantages beneath the EDLI scheme was elevated from Rs 3.6 lakh to Rs 6 lakh, which obtained notified in June 2016.
The profit payable beneath EDLI Scheme shall be prolonged to such beneficiaries the place the deceased worker was a member of the Fund or a supplier fund exempted beneath Part 17 of the EPF & MP Act assist was in employment for a steady interval of 12 months previous the month during which he died, regardless of change of firm through the mentioned interval. The minimal assurance profit payable beneath the EDLI Scheme has been mounted as Rs.2.50 lakh efficient 15.02.2020 (i.e. with impact from the date of lapse of mentioned profit).
The membership of EDLI is routinely supplied to these coated in EPF. The Staff’ Deposit-Linked Insurance coverage Scheme, 1976 supplies an insurance coverage cowl to be paid to the worker’s nominee on the loss of life of the worker throughout employment. The declare quantity is linked to the typical of the provident fund account steadiness of an worker and is payable to the nominee of the worker. Because the EDLI scheme applies to all staff beneath the Staff’ Provident Funds and Miscellaneous Provisions Act, 1952, there isn’t any want so as to add the nominee individually.
As an worker, one needn’t pay however solely the employer has to contribute. As much as the utmost wage ceiling of Rs 15,000, the employer has to contribute 0.5 % of the worker’s wages together with administrative expenses.