The Employees State Insurance Act (Act) in India provides for a scheme of health insurance and cash benefit payments to industrial workers in case of sickness, maternity and employment injury. The cash benefits under the Act are administered by the Central Government through the Employees State Insurance Corporation (ESIC), whereas the State Governments and Union Territory Administrations administer medical care.
ESIC is the principal social security organization in the country responsible for making policies and taking decisions under the Act. The body oversees the functioning of the Employment State Insurance Scheme under the Act.
On September 6, 2016, the ESIC raised the monthly wage threshold
to INR 21,000, from the current INR 15,000 for coverage under its
health insurance scheme. ESIC's board has also decided to
give an option to existing insured persons to continue membership
even if their monthly wage breaches the new threshold of INR 21,000
per month. At present, those individuals insured under the
ESIC scheme lose their membership of ESIC as well as that of the
insurance cover if their wage exceeds the ceiling of INR 25,000 per
month.
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