Hi Everyone
I am working in software company and till April we were deducting ESI of those employees whose salary was less than 10,000 but now we are going to start providing mediclaim to our all employees.As per I know mediclaim and esi are both for health insurances,Now my question is :-
1) As we are going to provide them mediclaim,Can mediclaim replace ESI?
2) Are we still liable to pay them ESI?If not, can you tell me the process to close this ESIC? So that we can come out of esi and instead of this can provide them medical insurance only.
waiting for your replies!!
thanks
meenakshi
From India, Delhi
3I am working in software company and till April we were deducting ESI of those employees whose salary was less than 10,000 but now we are going to start providing mediclaim to our all employees.As per I know mediclaim and esi are both for health insurances,Now my question is :-
1) As we are going to provide them mediclaim,Can mediclaim replace ESI?
2) Are we still liable to pay them ESI?If not, can you tell me the process to close this ESIC? So that we can come out of esi and instead of this can provide them medical insurance only.
waiting for your replies!!
thanks
meenakshi
From India, Delhi
Dear Meena
We too facing the same problem in our company. As per the act ESI is compulsory for all employees who is drawing 15000 & below. So we planned to go for mediclaim only for the person who is drawing more than 15000 & above.. The persons who is getting 15000 & below they are having ESI benefits, the persons who is getting 15000 & above they are eligible for mediclaim. Please suggest with this to your management.
Thanks.
From India, Madras
We too facing the same problem in our company. As per the act ESI is compulsory for all employees who is drawing 15000 & below. So we planned to go for mediclaim only for the person who is drawing more than 15000 & above.. The persons who is getting 15000 & below they are having ESI benefits, the persons who is getting 15000 & above they are eligible for mediclaim. Please suggest with this to your management.
Thanks.
From India, Madras
Hi Meena,
Employers are bound to provide the health insurance for the employee and that is the primary objective of the ESIC act,
When you want to cover your employee’s you have to provide over and above of the ESIC coverage, that means the facilities which you provide through mediclaim should be equal or above than that of.
For example I have attached a document in that it says what are all the benefit provided under ESIC coverage, and if you are going to provide other than ESIC it should be at par with these benefit or above.
Hope you might get some clarity.
Regards,
Charan
From United States, Palo Alto
Employers are bound to provide the health insurance for the employee and that is the primary objective of the ESIC act,
When you want to cover your employee’s you have to provide over and above of the ESIC coverage, that means the facilities which you provide through mediclaim should be equal or above than that of.
For example I have attached a document in that it says what are all the benefit provided under ESIC coverage, and if you are going to provide other than ESIC it should be at par with these benefit or above.
Hope you might get some clarity.
Regards,
Charan
From United States, Palo Alto
ESI is a compulsory social security legislation for employees to provide not only Full medical care to the employees and their family members, but it provides a package of other cash benefits during abstention from work of an employee due to sickness, Maternity and employment injury. It provides permanent disablement benefit for life in case of any residuary disability due to employment injury. Dependants' benefit is admissible to the dependents in case of death of an employee due to employment injury. Now,the ESI (Amendment) Act, 2010 provides these benefits in case of commuted accidents also while coming for duty or returning home after work. Medical benefit includes provision of Artificial appliances like artificial limbs, crutches, wheel chairs, cervical calipers, spects, wigs, etc. as a part of treatment. Mediclaim does not take care of all these benefits. So you have to continue ESI for all those drawing wages up to and including 15,000/- p.m.(from 1-5-2010). You can take mediclaim only for those drawing above 15,00/- p.m as they are not covered under ESI.
Exemption: If an employer is providing similar or superior benefits than those provided under ESI to all his employees including temporary, casual etc., then that employer is eligible for exemption from ESI under Section 87 of the ESI Act. An application in the prescribed format is to be made for such exemption to be granted by the Government.This exemption is given prospectively for not more than an year at a time.
Ramana Murty, Hyderabad
From India, Hyderabad
Exemption: If an employer is providing similar or superior benefits than those provided under ESI to all his employees including temporary, casual etc., then that employer is eligible for exemption from ESI under Section 87 of the ESI Act. An application in the prescribed format is to be made for such exemption to be granted by the Government.This exemption is given prospectively for not more than an year at a time.
Ramana Murty, Hyderabad
From India, Hyderabad
Please clarify ..
1. Is it mandatory to cover employees under medical coverage who are not covered under ESIC i.e. above 15K
2. If so, where the statute stating same can be referred to.
Please suggest..
Regards,
From India, Mumbai
1. Is it mandatory to cover employees under medical coverage who are not covered under ESIC i.e. above 15K
2. If so, where the statute stating same can be referred to.
Please suggest..
Regards,
From India, Mumbai
Dear meenakshi,
Please keep in mind that Mediclaim can not replace the ESI ..if your employees are getting salary up to 15 k pm you are still liable to contribute towards ESI. Mediclain having certain benefit Cap ( benefit limits) where as ESI does not have any benefit limits ( for more details you can refer ESI clause or you may visit nearest ESI dispensary). However if you want exemption from ESI , your company have to provide equal or better felicities to your employees and presentation to be made in front of ESIC officials.
From India, Surat
Please keep in mind that Mediclaim can not replace the ESI ..if your employees are getting salary up to 15 k pm you are still liable to contribute towards ESI. Mediclain having certain benefit Cap ( benefit limits) where as ESI does not have any benefit limits ( for more details you can refer ESI clause or you may visit nearest ESI dispensary). However if you want exemption from ESI , your company have to provide equal or better felicities to your employees and presentation to be made in front of ESIC officials.
From India, Surat
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PF,ESI WORKING SPECIMEN.xls