What is ESIC Registration?
The Employee State Insurance (ESI) is an initiative by the Employee State Insurance Corporation, an autonomous body formed by the Indian government’s Ministry of Labour and Employment. This scheme provides medical, financial, and other benefits to Indian workers, which are provided by the employer. Companies with more than 10 employees (in some states, it is 20 employees) who earn a maximum salary of Rs. 15000/- must register themselves with the ESIC. Employers are required to contribute 4.00% of the total monthly salary payable to the employee, while employees are required to contribute only 1.00% of their monthly salary every month. The only exception to the employee’s contribution is for those earning less than Rs. 100/- per day.
Entities covered under ESIC
As per the government notification dated Sec 1(5) of the ESI Act the following entities are covered:
1. Shops
2. Restaurants or Hotels only engaged in sales
3. Cinemas
4. Road Motor Transport Establishments
5. Newspaper establishments (which is not covered under the factory act)
6. Private Educational Institutions
Rietway Consultants ESI Registration Package
The Services which are included in our package are as Follows:
✅ Consultation for ESI Requirement
✅ Preparation of Documents
✅Application Filing
✅ESIC Certificate and Login Credentials
Documents Required for ESI Registration
- The registration certificates required are GST certificate, Shop and Establishment certificate, and Certificate of Incorporation.
- Address proofs such as electricity bill, rent agreement, telephone bill, or water bill are also necessary.
- PAN card copies of the business entity and all partners/directors are mandatory.
- A cancelled cheque is also needed.
- Digital signature is required.
- MOA/AOA of the company must be submitted.
ESI Registration Procedure
Step -1 Arrange all Required Documents: The first step is to arrange all the documents and send the same over the email / WhatsApp to us. Once all the Documents are Received, we will Start the Further Process.
Step -2 Documentation: The documents to be uploaded while applying for the ESI Registration must be prepared, signed and stamped.
Step – 3: Filing of Application: The Next Step is Submission of Application at Department.
Step – 4 Issue Of ESI Number: After Submission and Scrutiny of Documents, Department Issues ESI Number.
What are the benefits of ESIC registration?
The benefits of registering under this scheme are varied. Some of them are:
- Employees are entitled to sickness benefits equivalent to 70% of their salary for a maximum of 91 days in a year, in the event of certified illness.
- Employees and their family members receive medical benefits.
- Pregnant women are eligible for maternity benefits, which include paid leave.
- If an employee dies while working, their dependents receive 90% of the employee’s salary every month.
- In case of employee disability, the dependents receive the same benefit as in point 4.
- Funeral expenses are covered.
- Medical expenses for old age care are covered.
How many returns are filed every year after the registration is finalised?
After the registration ESI Returns have to be filed twice a year. The following documents are required for the filing of the returns:
1. Register of Attendance of the Employees
2. Form 6 – Register
3. Register of wages
4. Register of any accidents which have happened on the premises of the business
5. Monthly returns and challans.
Recent Updates
Feb 12, 2020: AGILE forms makes it easier to apply for ESI registration. With the use of e-form AGILE (Application for registration of the Goods and Services Tax Identification Number (GSTIN), Employees’ State Insurance Corporation (ESIC) registration plus Employees’ Provident Fund Organization (EPFO) registration), one can register for any of these at the time of company registration.
Mar 06, 2020: Company incorporation under EPFO, ESIC to be done on new MCA portal Private, public, and one person company registration under EPFO, ESIC will be executed on the new MCA portal. It simplifies the registration process by using a new web form SPICe+ (Simplified Proforma for Incorporating Company Electronically Plus), integrating 10 services from various departments.
Mar 9, 2020: SPICEe+ form stipulates mandatory registration of EPF & ESIC With the introduction of SPICe+ form for company incorporation, registrations for EPFO and ESIC shall be compulsory for all organizations registered, and none shall be separately issued by the respective agencies.
FAQ On ESIC Registration
Q1 What is the insurance number?
To recognize each employee, the ESI scheme allots a unique identification number to every worker. This number is called the insurance number and is used for all operational purpose.
Q2 How can I claim my ESI amount?
Form-15 claim for dependent benefit by ESIC . You can find the Form-15 claim for permanent disablement benefit provided by the Employee State Insurance Corporation (ESIC), Ministry of Labour and Employment, Government of India. Users must read the form and fill up as per the given.
Q3 Can esic amount be withdrawn?
ESIC is an insurance for people below certain income level. It helps you to get excellent medical care for your family free of cost. ESI deduction is premium, you cannot withdraw from it.