indian_flag भारत सरकार | Government of India
New Version Old Version
Schemes

Insurance Scheme (EDLI)

Insurance Protection for Your Family's Future

The Employees’ Deposit Linked Insurance (EDLI) Scheme provides life insurance benefits to EPF members. In case of death during service, the nominee receives a minimum of ₹2.5 lakh and up to ₹7 lakh, based on the employee’s salary and EPF balance. Employers contribute 0.5% of wages, with no deduction from employees. Claims are processed within 20 days, ensuring quick financial support to the family.

innovative-social-security
how_to_reg
Who it Covers?
All employees of factories and establishments
Automatic membership for EPF employees
Not applicable to tea factories (Assam)
add_notes
Benefits of the Scheme
Life insurance cover
Assurance benefit paid to nominee/ legal heirs on death
Minimum benefit: ₹2.5 lakh.
Maximum benefit: ₹7 lakh
verified
Key Features
Employer’s remit contributions monthly
No Employee Contribution
Nomination facility
Claims settled within 20 days
Exemptions allowed

More about EDLI Scheme

about-epf

  • Employers must remit contributions within 15 days of the close of every month by bank draft, cheque, cash, or electronic transfer.
  • Central Government credits its share annually.
  • Employers are responsible for contributions of both directly employed and contract workers.

  • If an employer defaults on contributions, damages are charged at 1% of arrears per month (or part thereof).
  • Central Board may reduce or waive damages in cases like change of management, merger, or financial hardship (up to 100% waiver in special cases).

On death of an employee in service:

  • Benefit = average PF balance of last 12 months (with conditions).
  • Alternatively, 35 × average monthly wages (max ₹15,000) + 50% of average balance, capped at ₹1.75 lakh.
  • Minimum benefit: ₹2.5 lakh.
  • Maximum benefit: ₹7 lakh (including 20% enhancement).

  • To calculate benefits, the average balance of last 12 months’ PF contributions (employee + employer + interest) is considered.
  • Employees must maintain consistent contributions to ensure eligibility for higher assurance benefits

epfo-vdo
vdo-icon
Let’s see virtually how it works

Watch video

Have any questions?

View All

Need Support?

Reach out to us and we will get back to you!

Get in touch