The Employee Provident Fund Organization (EPFO), the body of the pension fund, offers maximum insurance up to Rs 7 lakh under the Employee Deposit Insurance Scheme (EDLI). This plan is a compulsory insurance cover offered to all members of the Caisse de PrÃ©voyance des SalariÃ©s (EPF).
Here are the essentials to know about the EPFO ââinsurance plan or EDLI plan:
What is covered by the EPFO ââinsurance plan?
Under the EDLI, the registered nominee receives a lump sum payment in the event of the death of the insured person. The amount of the claim depends on the salary received during the last 12 months of the deceased’s employment (this is subject to a maximum of Rs 7 lakh).
The minimum death cover, in this case, is Rs 2.5 lakh.
Under what circumstances can this diet be used?
This scheme can be used in the event of the death of the insured, regardless of the change of employment, thus providing financial support to the families of the deceased member.
And, how do you appoint members for the same?
Here are the steps to submit the details of the appointment of the EPF account online:
Step 1: Visit the EPFO ââwebsite and navigate to “Services”
Step 2: Now go to Employees and click on âJoin UAN / Online Serviceâ
Step 3: Log in with Universal Account Number (UAN) and Password
Step 4: Under “Manage tab”, select e-nomination
Step 5: Click on “yes” to update the family declaration
Step 6: Click on âAdd family detailsâ (more than one candidate can be added)
Step 7: Click on âAppointment Detailsâ to report the total share amount. Click on “register the EPF application”
Step 8: Click on âe-signâ to generate the OTP and submit the OTP sent to the mobile number linked to Aadhaar. With this, the e-nomination is made. It is not necessary to send a physical document to the employer.
How can applicants claim this insurance?
The EDLI 5 IF form must be duly completed and submitted by the applicant for the same. The complaint form must be signed and certified by the employer. The benefits are directly linked to the bank account of the employee’s agent or legal heir and are directly credited to this bank account
(Edited by : Ajay Vaishnav)