EPFO subscriber? You can get free life insurance cover of up to Rs 6 lakh! Are you eligible? Find out

EPFO Alert: The Employees' Provident Fund Organisation (EPFO) gives free life cover to the Provident Fund (PF) account holders. Each and every EPFO subscriber is insured free of cost under EDLI 1976 rules once his or her PF or EPF account gets opened. The EPFO subscribers are eligible for life cover up to 20 times of their monthly basic salary or Rs 6 lakh, whichever is minimum. According to tax and investment experts, the insurance claim can be done by the EPFO subscriber's nominee in the case of prolonged illness, accidental death or normal death. Life cover under EDLI is given one time to the nominee who has claimed EDLI claim.

Speaking on the life insurance cover rules for the EPFO subscribers, Manikaran Singhal, SEBI registered tax and investment expert said, "Under the EDLI rules of EPFO, an EPF account holder is eligible for the life insurance cover free of cost as there is no premium to be paid by the EPF account holder. In this life cover, the employee can get up to Rs 6 lakh or 20 times of his or her basic monthly salary, whichever is lesser. The claim has to be claimed by the nominee of the provident fund account holder in the case of prolonged illness, accidental death or normal death." Singhal said that life cover under EDLI is given one time to the nominee who has made the claim.

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On who all is eligible, SEBI registered tax and investment expert, Jitendra Solanki explained, "All EPFO subscribers are eligible for the life cover up to s 6 lakh provided they do not have any group insurance. In this EDLI life cover, generally factory workers are the major beneficiaries as they are not given group insurance cover by their employers. People having white collar jobs are generally given group cover insurance but the premium of the group cover is being paid by them."