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Anonymous
My organisation is a healthcare industry, based out Chenni metro. We have around 110 employee's are working in different category (Skilled Resource: Administration, Sales, Client Relations, HR, Doctors, Staff Nurse, Pharmacist & Lab Technician). We're taken medical insurance (GMC & GPA) for all our employee's except ESI covered employees (Only GPA taken).
Recently we have hired Semiskilled category employees (such as: electrician, Painter, plumber & a/c mechanic etc).
Most of them were covered under ESI except 2 employees.
My queries are here;
1. Should we take employee compensation policy? Is it mandatory
2. If yes, Should we cover above all category employees or Semiskilled employees only?
3. Should we included ESI covered employees as well.
Immediate reply shall be highly appreciated,
Thanks & Regards

From India, Chennai
umakanthan53
6018

Dear friend,
In the absence of non application of the Employees State Insurance Act,1948 either to the establishment or to the employees concerned, taking insurance policy for the risks arising out of employment accidents in respect of his employees by the employer is not mandatory but it is advisable. Particularly, after the recent amendments carried out to the Employees' Compensation Act,1923, the amount of compensation payable under the Act has risen manifold including the statutory liability to reimburse the entire medical expenses. Therefore, it is better to take up appropriate insurance policy in this regard in respect of all the employees out of the coverage of the ESI Act,1948 but falling within the ambit of the definition of the term "employee" u/s 2(1)(dd) of the EC Act,1923 read with its Schedule II.

From India, Salem
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