Dependant Benefit under ESI Scheme: Know what it is and who can avail- Check details

A person starts working with an organisation to meet his financial goals and in order to fulfill the needs of his family. Employees are also provided with certain insurances and benefits like medical benefits, sickness benefits, among others by the employer or the organisation.

But what will happen if an insured person is deceased due to an accident during his course of employment? Will the dependant be able to avail any benefit under ESI Scheme?

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The answer is yes. If an insured person is deceased due to an accident during his course of employment, dependant can avail Dependant Benefit under ESI Scheme.

Dependants benefit is paid at the rate of 90 percent of wage in the form of monthly payment to the dependants of a deceased insured person in cases where death occurs due to employment injury or occupational hazards.

How long Dependent Benefit is paid?

According to Employees' State Insurance Corporation, the Dependent Benefit is paid to:

1. Widow: Till death or remarriage at 3/5th of the full rate.

2. Widowed mother till death at 2/5th of the full rate.

3. To each child at 2/5th of the full rate each till he attains the age of twenty –five years.

4. Unmarried daughters at 2/5th of the full rate till they get married.

5. If the son or daughter is infirm and wholly dependent on the earnings of the insured person at the time of his death, they continue to receive the benefit even after attaining the age of 25 years/ marriage as the case may be.

If the total dependants' benefit for all the dependents worked out as above exceeds at any time, the full rate, the share of each of the dependents shall be proportionately reduced, so that the total amount payable to them does not exceed the amount at full rate.

In case deceased insured person does not leave behind any of the dependents referred above, then his parents will get 3/10 share or if no parent is alive then alive his paternal grant parent will get 3/10 share of full rate of dependent benefit.

Funeral Expenses: An amount of up to Rs 10,000 is also defrayed to any family member or person who actually incurs the above expenditure on funeral.