Finance Desk – In a major relief for employees and their families, the Ministry of Labour and Employment has updated the Employees’ Deposit-Linked Insurance (EDLI) Scheme to make it easier to claim the minimum ₹50,000 insurance payout in case a Provident Fund (PF) subscriber dies.
Here’s what the new rule says:
Even if the employee’s PF balance is below ₹50,000, their family will still get a minimum insurance payout of ₹50,000 after the subscriber’s death.
This benefit applies if the employee passed away during the last 12 months or while being an active PF member, even with a low PF balance.
If there are short job breaks of up to 60 days, the service will still be counted as continuous, making the employee eligible for the benefit.
If the employee dies within six months of their last PF contribution, and they are still officially on the company’s rolls, the insurance benefit will still be given.
Earlier, families of workers who died within a year of joining a job did not qualify for this insurance benefit. But now, with this change, all eligible families will receive at least ₹50,000, providing crucial financial support during tough times.
This move by the EPFO (Employees’ Provident Fund Organisation) aims to help more families during sudden losses and bring financial security when it’s needed the most.
