What is the full form of ESI?

The full form of ESI is the Employees’ State Insurance. ESI is a health insurance programme created to provide medical and financial benefits to Indian employees. The ESIC oversees and controls it (Employees State Insurance Corporation). The Indian Government’s Ministry of Labor and Employment oversees ESIC, an independent corporate organisation.

History of ESI

• The ESIC is solely responsible for managing ESI following the guidelines in the ESI Act of 1948. ESI was founded on February 24, 1952, to serve as an Indian employee health insurance service.
• The Indian Government recruited Professor B.N. Adarkar in March 1943 to write a report on HIS for Indian labourers (health insurance scheme).
• The ESI Act 1948 was created due to the statement, which underlined the necessity to safeguard Indian workers against unforeseen events, including sickness, temporary or permanent physical impairment, maternity, and occupational injury-related mortality that would directly impact their income.
• On February 24, 1952, Kanpur became the first city to establish the Employee ESI scheme.
• The ESI Act was initially only for labourers, but later it benefited all employees earning less than specific wages(15000/-).

Key Objects of ESI

• The ESI Act of 1948 was specifically created to offer financial compensation in the event of contingencies like temporary or permanent incapacity, pregnancy, illness, death due to an occupational injury, etc.
• The ESI Act of 1948 provides medical benefits for Indian labourers who work in factories, enterprises with at least 10 employees, and for them and their dependents.

Organizations covered as per ESI

• Except the states of Arunachal Pradesh and Manipur, the ESI programme is required across India.
• The ESI plan for Workers is currently being developed to include preview theatres, movies, hotels, restaurants, shops, newspaper outlets, etc..
• Medical facilities and private educational institutions with at least 10 employees can also enrol in the ESI plan for Workers.

Required Documents for ESI registration

Below is the required document for ESI registrations:

• PAN card of the business or organisation
• The location of the business or records of the businesses.
• Copies of the registration certificate must be submitted if the corporation is a private limited company.
• Every organisation must have a registration certificate.
• a complete list of the personnel, together with their monthly salaries.
• List of the company’s shareholders, directors, and associates.
• The company’s bank records and other documentation indicating when its operations began are included.

ESI Benefits

Indian employees are covered by ESI for medical expenses in the event of an injury, illness, pregnancy, or even death at work and for financial assistance during periods of unemployment. The advantages of the ESI system are listed below.

1. Physical Disability Benefits
2. Maternity Benefits
3. Medical Benefits
4. Sickness Benefit
5. Dependent Benefit
6. Unemployment Allowance.