Major Updates for Employers & HR Professionals
The Ministry of Labour & Employment has issued the Draft Employees’ Deposit Linked Insurance (EDLI) Scheme, 2026 under the Social Security Code, 2020. The proposed scheme modernizes the existing EDLI framework while ensuring continued financial protection for employees’ families.
What’s New?
Replaces EDLI Scheme, 1976 with a new framework under the Social Security Code, 2020.
Insurance benefit continues for the nominee/legal heir in the event of the death of an EPF member.
Monthly EDLI contributions must be deposited within 15 days after the close of each month through electronic mode.
Employer’s EDLI contribution cannot be deducted from employees’ wages.
Complete claims are proposed to be settled within 20 days of receipt.
Updated compliance provisions for exempted establishments and employer responsibilities.
Why It Matters
The draft scheme aims to improve transparency, simplify compliance, and ensure quicker insurance benefits for eligible beneficiaries. Employers should review the proposed provisions and prepare for implementation once notified.
Draft EDLI Scheme, 2026 – At a Glance
| Particulars | Details |
|---|---|
| Scheme | Draft Employees’ Deposit Linked Insurance (EDLI) Scheme, 2026 |
| Replaces | EDLI Scheme, 1976 |
| Applicability | Employees covered under the Social Security Code, 2020 |
| Contribution Due Date | Within 15 days after the end of every month |
| Employer’s Contribution | Cannot be deducted from employees’ wages |
| Claim Settlement | Within 20 days of receiving a complete claim |
| Benefit | Insurance benefit payable to eligible nominee/family on the member’s death |
