ESI Registration

Registration for ESI is mandatory for all factories and specified establishments with 10 or more permanent employees. To register as an employer under the ESI Act, one needs to log in to the ESIC Portal.

ESIC refers to the Employee State Insurance Corporation, which is an independent body established by the Ministry of Labour and Employment. The ESIC online registration process governs and regulates employee state insurance in India. The Employees' State Insurance Act, of 1948 was created by the legislature to fulfill the insurance needs of individuals. This self-financing social insurance scheme was initiated for the benefit of employees in India, providing them with necessary amenities and benefits such as monetary and medical facilities, among others, from their employers. The ESI PF registration is managed according to the rules and regulations set forth by the ESIC Act of 1948.
 

• Workers receive medical benefits equivalent to 70% of their salary if they fall ill or become sick, and if the illness lasts longer than 91 days in a year, the employee is also certified.
• The medical benefits also extend to the family members of the insured person.
• Maternity benefits, in the form of paid maternity leaves, are provided to women.
• If an insured employee dies while in employment, their family receives 90% of the employee's salary, and funeral expenses are covered if the death is covered under the ESIC company registration.
• ESIC provides medical benefits to retired or elderly individuals.
• In the case of permanent disablement, the insured person receives 90% of their salary as insurance benefits in the form of monthly payments.
• Individuals who hold ESI insurance for at least three years are eligible for unemployment benefits or allowances, such as 50% of their salary for one year.

• Any license or registration certificate issued under the Shops and Establishment Act is required.
• If the applicant is a company, the Memorandum of Association (MOA) and Articles of Association (AOA) are needed.
• For Partnership Firms, the Partnership Deed is required.
• If the applicant is a Limited Liability Partnership (LLP), the LLP Agreement is needed.
• A Certificate of Incorporation is required for production or manufacturing companies, and a Registration Certificate is needed for other types of companies.
• The company's PAN card is required.
• The PAN and Aadhaar cards of employees are required.
• Details of the nominee for the insured person are required.
• A bank statement for the company is needed.

• Companies or businesses employing 10 or more employees are eligible for ESI and in the case of PF registration, it is 20 or More employees.
• In some states, the ESIC applicability is limited to companies employing more than 20 employees.
• Insurance is deducted from employees earning a monthly income of not more than Rs. 21000, which includes basic wages and dearness allowance.
• The ESI scheme offers several advantages to employees, such as a large network of hospitals, dispensaries, and medical clinics for quick medical care.
• It is mandatory to obtain an ESI company registration certificate within 15 days of becoming eligible.
• ESIC rules and regulations differ from state to state, so certain rules may vary.

1. Go to the official website of ESIC.
2. Sign up with a unique user ID and password, which will be required for future actions such as return filing.
3. Log in to the official website using the registered user ID and password to complete the registration process.
4. Fill out all the required information in the online application and submit it along with the prescribed fees for the next six months.
5. Once the application process is successfully completed, the EPF & ESI registration department will issue a registration certificate with a 17-digit unique registration number.

After obtaining the ESIC online registration, the business or organization must adhere to the guidelines specified by the Act, which include:

• Maintaining an attendance register
• Keeping complete information or reports on the employee register of wages
• Filing monthly challans and returns by the 15th of each month
• In the event of registered premises being affected by accidents causing the destruction of employee records, providing information about such incidents.

The ESIC registration scheme is a mandatory contributory scheme for both employees and employers at a specific rate, which is subject to regular amendments. The following are the monthly contribution rates mandated for both employees and employers:

• Employees are required to contribute 0.75% of their salary to the ESI Fund.
• Employers are required to contribute 3.25% of the basic salary paid to their workers.

Employees whose daily wage is up to Rs. 137 are not obligated to contribute to the scheme. However, it is the responsibility of the business owner, company, or employer to contribute their own shares monthly on behalf of these workers or employees.