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Employee State Insurance Corporation (ESIC)

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Coverage Areas, Organizations and Employees

Coverage of ESIC

Originally ESIC Act was only applicable to non-seasonal industries (or factories) utilizing power providing employment to 20 or more individuals. But with the passage of its implementation, the provisions of this Act were modified to extend the coverage to Non-seasonal power using industries (or factories) providing employment to 10 or more individuals along with Non-power using industries (or factories) providing employment to 20 or more individuals.

Under Section 1(5) of the Act, the Scheme has been extended to shops, hotels, restaurants, cinemas including preview theatre, road motor transport undertakings and newspaper establishment employing 20 or more persons.

The existing wage-limit for coverage under the Act, is Rs.10,000/- per month (with effect from 1.10.2006).

Areas covered under the Act

The ESIC Scheme is being implemented in various phases area-wise across India. The Scheme has already been implemented in different areas in various States/Union Territories across India except in states like Arunachal Pradesh, Manipur, Mizoram, Nagaland, Tripura and Sikkim.

Coverage of Factories

The Act is applicable to all non-seasonal factories that utilize power providing employment to 10 or more individuals as well as factories not utilizing power employing 20 or more individuals for wages on any day in areas wherein ESIC Act has been implemented. There is an amendment to the Act under Section 1(5) to extend the benefits to other classes of establishment agricultural, commercial, industrial or otherwise. The provisions of this Act have been extended by majority of the State Governments in India to the following class of establishments such as shops, hotels, restaurants, cinemas road-motor transport agencies, newspaper agencies, workshops, establishments employing 20 or more individuals.

In case, at any stage or in due course of time, if the number of employees  working with an establishment or factory covered under the ambit of this Act falls short of the stipulated number of 10 or 20 employees as specified, ceases to be a beneficiary of ESIC Act without  any aid of power. However, this Act is not applicable to workers engaged in mining operations, railway running sheds and certain seasonal/temporary factories operating for less than 7 months in a calendar year. The employees of establishments or factories run with the aid of Central or State Governments who are in receipt of social security benefits that are substantially similar or superior as compared to those provided under this Act can be exempted from coverage.

Coverage of Employees

The Central Government of India has issued guidelines pertaining to monthly wage limit that has been prescribed for the purpose of coverage of employees/workers of the factories or establishments covered under this Act. Under Section 2(9) of this Act, an employee has been defined as any individual employed for wages in connection with the work related to a factory or establishment which is a beneficiary under ESIC Act. The wage ceiling is revised from time to time. The existing wage ceiling effective from 1.10.2006 is Rs.10,000/- per month.

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Dear Sir, I joined ESI scheme on 1st Aug'14, I have paid one month contribution only. Now my father needs to undergo eye surgery. Is it possible to have such facility from ESI scheme. Please give me details in this regard.
aprchristumas Thursday, August 14, 2014
Hi, I joined company on 2nd May 2014, Please can you advise when can i and dependent can get full medical treatment or reimbursement from ESIC.
reachankitbansal Tuesday, July 01, 2014
sir i joined a company 3_3-2014`n fill esi form when i got alll the esi facility??????
pankaj1239 Saturday, April 05, 2014
Dear sir Please guide me how to avail the facilty.This is anusuya from bangalore. Thanks and Regards Anusuya ESI Insurance No - 534269872 pls conform me. my esi num its working r not.......regards
anu..



anusuya Tuesday, March 04, 2014
Dear Sir I want to take esi facility but there is no idea of the procedure. Last day I went to renuka orthopaedic hospital in patna, doctor checked and demaded for the fee. But as I know in esi there is nothing to pay from pocket. Please guide me how to avail the facilty Thanks and Regards Manish Kumar ESI Insurance No - 4215223985 Mob- 7781007602
Manish4215223985 Tuesday, January 14, 2014
sir i am naveen kumar ,i go esi hospital for my wife's treatment of eyes, but doctor speak ruffly and said here is no treatment in hospital, we said then reffer any hospital but he said we can not reffer, then i go to another hospital , iwant to treatment another hospital how can i collect my bills to esi
naveensood Friday, November 22, 2013
one of fr she worked with me.nw she relived from our company.her father was in critical stage,whether she can apply for esi with her no.Kindly reply as soon as possible
aparna30 Wednesday, November 13, 2013
Hi, I worked with an organization when I registered for ESIC . Now I moved to another company and its been 2years now. I want to contribute towards my ESIC IP NO. Please let me know how can I initiate contributing towards ESIC with my new company with the changed address. Thanks in Advance, Anil V.
Anee Tuesday, November 12, 2013
I have been working in an organization for the last one year, and astonishingly i found that this company employing around 200 employees is still not registered with ESIC and none of the employees are covered under ESI or even PF. I am wondering as to how a organization can survive like this cheating the employees and minting money like this. Could someone tell me as to how these people can be straightened out using the law.
goodsamaritan Thursday, November 07, 2013
hi my name is raghu my brother worked for 6 years in one organization, 6 months back he resigned due to close of that organization. will he get any benefits of medical and any pay from esi, if so how to get benefits. because he is still searching for job from 6 months. please give some advice
Raghu.M Thursday, November 07, 2013
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