Employee State Insurance in short ESI is a special self-financing, social security, and health insurance scheme undertaken by the Government of India. This scheme offers medical, monetary, and several other benefits to the workers or employees under any organization. Employee State Insurance (ESI) is managed by an autonomous authority which is the Employee State Insurance Corporation (ESIC), which falls under the jurisdiction of the Ministry of Labour and Employment. ESIC is a statutory body set-up under the Employee State Insurance Corporation (ESIC) Act, 1948

Any company having 10 or more employees is bound to have ESI.

Under the ESIC Act, 1948, the entities or establishments who are covered under ESI registration are as follows-

  • Shops
  • Hotels and Restaurants engaged in sales
  • Cinemas and theatres
  • Transport establishments
  • Newspaper establishments which are covered under the factory act)
  • Private educational institutions
  • Roadside motor transport establishments etc.

For more information, please contact us on or call us Mb. No. 85100 58386 or 9310 717274.


The contribution for the ESI scheme is done by both the employer and employee at such a rate which is specified under the ESIC Act, 1948, presently the rate is 0.75% for an employee and 3.25% for an employer. Employers can collect the ESI contribution from the wages bill and make the desired contribution within 21 days of the relevant month of the ESI scheme. There are two periods of contribution, within a gap of 6 months, one starts from 1st April to 30th September and the other starts from 1st October to 31st March of the next year.


The eligibility criteria for ESI is as follows-

  1. A factory with more than 10 employees.
  2. Employees employed in different fields such as hotels and restaurants, newspaper agencies, road-motor undertakings, cinemas and theatre, and private educational and medical institutions with a strength of more than 20 employees.
  3. In a case where the wage limit of the employee is Rs. 21,000/- per month and if the employee has any sort of disability, the wage limit for coverage is Rs. 25,000/- per month.
  4. For receiving the social security benefits under the ESI scheme, employees should earn wages up to Rs. 10,000/- per month.


Below mentioned are documents which are submitted by the employer along with the application for ESI registration-

  1. Certificate of Registration in case of Company, and Partnership deed in case of a Partnership
  2. A certificate obtained either under the- 
    1. Factories Act or,
    1. Shops and Establishment Act
  3. List of all the employees engaged in the said organization
  4. ID proof and details of all those employees
  5. Memorandum of Association (MOA) and Articles of Association (AOA) of the Company
  6. PAN Card of the said entity
  7. PAN Card of the Employees working under the said entity
  8. A cancelled cheque of the Bank Account of the Company
  9. List of Directors and shareholders of the said Company
  10. Register containing the attendance of all the Employees
  11. Copy of the licenses received by the Company such as GST
  12. Digital signature of the proprietor, partner, or director
  13. ID proof of the proprietor, partner, or director of the establishment

For more information, please contact us on or call us Mb. No. 85100 58386 or 9310 717274.


The ESI registration can be done online, so there is no need for the employers to submit any document physically for the purpose of registration.

The steps for the registration is listed below-

Step 1:Log in to the portal:

When an employer tries to register under the ESI Act, the first thing to do is to visit the ESIC portal and, on the home page, click on the Sign Up option.

After clicking on the ‘Sign up’ button, the employer needs to fill in the details and submit the form. The details are-

  • Company name
  • Name of the employer
  • State, Regions
  • Email ID
  • Phone No.

Step 2:Confirmation mail:

After submitting the form to the portal, the employer will receive a confirmation mail sent to the registered e-mail id and contact number given at the time of sign up.

The e-mail contains username and password details for registering as an employer and employee under the ESIC scheme.

Step 3:Registration Form-1:

The next thing to do is to log in to the portal using the given e-mail id and password. After which, a new page will appear, having an option ‘New Employer Registration’. 

After clicking on the ‘New Employer Registration’ option, the next is to select the ‘type of unit’ and select the submit button. 

The ‘Employer Registration – Form 1 will appear, and the employer will need to fill in the details.

This form contains information such as the employer’s unit, details of the employer and employees. Once the full form is completed by the employer, the ‘Submit’ button option is selected.

Step 4:Payment:

Once the submission of the Employee Registration Form is done, the ‘Payment of Advance Contribution’ page will open. The employer should fill out the amount to be paid and select the desired payment method.

The employer should pay an advance amount for six months.

Step 5: Letter of Registration:

Upon successful payment of a six-months, the Registration Letter (C-11), which is system generated, is sent to the employer. 

The letter will have a 17-digit Registration Number from the ESIC department.

Registration letter (C-11) is a proof of the employer’s registration.

Once the registration is completed, the ESI Returns have to be filed twice a year. The documents which are needed for the filing of the returns, are mentioned below:

  1. Register of Attendance of the Employees.
  2. Form-6 Register
  3. Register of Wages
  4. Register of any kind of accidents which have taken place on the premises of the Company or organization.
  5. Monthly Returns and Challans of the said Company.


ESI registration provides several benefits to the workers of the Company. Those benefits are listed below-

Medical Benefit-Since the very first day of employment, every employees and their family member enjoying the ESI scheme are bound to get the medical benefits provided under ESIC.

If there is a guaranteed illness lasting 91 days in any year, the sickness benefits at the rate of 70% (in the form of the employee’s salary).

Maternity Relief:

Pregnant women get a special benefit, known as maternity aid. This aid is payable up to twenty-six weeks, can be extended by 30days on serious conditions, preferably on medical advice. To avail this benefit, the employers are needed to contribute their wages for 70 days in the previous two contribution period. 

Death benefits:

If an employee is on duty in the said Company, 90% of the salary will be paid to the people who relied on him or her, i.e., people who are his/her dependant, will be liable to get a monthly payment after the employee’s death.

The same is true in the case of an employee’s disability.

Funeral expenses are also borne by the Company.

Old-age treatment:

Annual Payment of Rs. 120 confirms medical care benefits for those employees who are going to retire and/or who have already opted for the path of VRS or ERS. Members who are going to retire on the ground of permanent disability are also entitled to get the same benefit. 

Extended Illness Benefits-

ESI members with any kind of chronic illnesses may receive an extended sick benefit for up to 2 years, provided that the 91-day sick leave period has already expired. Among other conditions, the eligibility method for obtaining this benefit includes that the ESI member concerned should have been actively working for at least two years at the beginning of the illness and its subsequent diagnosis.

Improved Illness Benefit-

As a step to encourage ESI staff to undergo vasectomy or tubectomy for family welfare. Registered ESI members who are willing to undergo sterilization procedures are eligible for a sickness benefit of 100% of their daily income. This benefit also allows a recovery period of 7 days for vasectomy and 14 days for tubectomy from the date of surgery or date of hospitalization. Even in the case of post-operative complications, the extension of this benefit can also be obtained.

There are some other ESI benefits as well offered by ESIC, namely funeral expenses, physical rehabilitation, and vocational training. A total of Rs. 15,000/- is provided for funeral expenses for family dependents or for performing the final rites. Physical rehabilitation and vocational training costs are provided in the ground of physical disability in the workplace and permanent disability of the Insured Person through VRS training, respectively.


ESI is a multi disciplinary social security program designed to provide social and economic protection to employees working in the organized sector against the incidence of illness, childbirth, death or disability due to occupational injuries.

For more information, please contact us on or call us Mb. No. 85100 58386 or 9310 717274.