Employee State Insurance (ESI) Registration
Employee State Insurance provides social-security benefits to eligible employees in covered establishments. We help employers assess applicability, complete ESIC registration, prepare employee records, and manage ongoing contribution and compliance support.
Benefits of ESIC Registration
- Sickness benefits at the rate of 70% (in the form of salary), in case of any certified illness certified and which lasts for a maximum of 91 days in any year
- Medical Benefits to an employee and his family members
- Maternity Benefit to the women who are pregnant (paid leaves)
- If the death of the employee happens while on work – 90% of the salary is given to his dependents every month after the death of the employee
- Same as above in case of disability of the employee
- Funeral Expenses
- Old age care medical expenses
Documents required for ESIC Registration
- A registration certificate obtained either under the Factories Act or Shops and Establishment Act
- Certificate of Registration in case of Company, and Partnership deed in case of a Partnership
- Memorandum of Association and Articles of Association of the Company
- A list of all the employees working in the Establishment
- PAN Card of the Business Entity as well as all the Employees working under the entity
- The compensation details of all the employees
- A cancelled cheque of the Bank Account of the Company
- List of Directors of the Company
- List of the Shareholders of the Company
- Register containing the attendance of the employees
Frequently Asked Questions
How is the ESI scheme funded?
The ESI scheme is a self-financing social security scheme funded primarily through employer and employee contributions on wages, with State Governments sharing part of the medical benefit cost as prescribed.
Is it mandatory for the Employer to do ESIC registration?
Yes. Once the establishment becomes covered under the ESI law, the employer is responsible for completing ESIC registration within the applicable time and ensuring ongoing employee enrolment and contribution compliance.
What does an ESI code number mean?
An ESI code is a unique registration number allotted to the employer after successful registration on the ESIC system. It is used for employee enrolment, contribution compliance, and ongoing ESIC filings.
Do branches or additional offices need separate ESI registration?
Where separate branch or office locations require their own registration or sub-code under the ESIC system, the employer should obtain it based on the location and operational structure of the establishment.
Is ESI contribution payable on overtime wages?
Yes. Overtime allowance is generally treated as wages for the purpose of ESI contribution, although it is not ordinarily considered for deciding whether an employee falls within the coverage ceiling.
What medical benefits are available after ESI registration?
Eligible insured persons and their dependent family members can access medical consultation, treatment, medicines, hospitalisation, and related ESI medical facilities, subject to the scheme rules and the applicable eligibility conditions.
What is the current wage limit for ESI coverage?
Employees drawing wages up to the currently prescribed ceiling are generally covered under ESI. As of the present framework, the normal wage ceiling is Rs. 21,000 per month, subject to the notified rules.
What is the current contribution rate under ESI?
Under the currently notified rates, the employer's contribution is 3.25% and the employee's contribution is 0.75% of wages, subject to the rules and exemptions that may apply.