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Thursday, June 2, 2016

EPFO cover even after job loss

 

Subscribers will continue to be eligible for life insurance cover for three years.
 
The Employee Provident Fund Organisa tion (EPFO) could soon approve a proposal to provide life insurance cover for three years at a nominal premium to subscribers who lose their jobs.

"EPFO trustees will take up and consider the proposal to provide insurance cover under its Employees' Deposit Linked Scheme (EDLI) to subscribers for three years after job loss," a source said, adding, "The maximum sum assured under EDLI will be enhanced to `6 lakh." In September, the EPFO's apex decision making body, the Central Board of Trustees (CBT), had decided to increase benefits under the EDLI scheme from `3.6 lakh to `6 lakh. The proposal provides for voluntary retention of EDLI membership to subscribers at a reduced rate of contribution for three years after they lose or leave a job.

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