Employee State Insurance (ESI) in India

By Ahmed Alsaedi, Founding Editor

Source: Employees' State Insurance Act, 1948; ESI (Central) Rules, 1950; Social Security Code, 2020 (enacted; rules pending)

Reviewed by the Commoner Law Editorial Team. Sourced from Indian central (Union) law — Constitution of India, central Acts of Parliament, and Supreme Court decisions. State-level information reflects each state's own Acts and High Court rulings. Written in plain language for general understanding — this is educational content, not legal advice. Our editorial standards

Indian Central Law

What is this right?

ESI is the parallel system to EPF: where EPF stores your retirement money, ESI buys you healthcare and a wage replacement when you cannot work. It is one of India's oldest social insurance schemes, dating to 1948 — built on the same logic as the British NHS that was being shaped that decade.

Coverage: employees earning up to ₹21,000/month (₹25,000 for persons with disabilities) in manufacturing establishments with 10 or more workers, or 20+ workers in other sectors.
Contributions: employee pays 0.75% of wages, employer pays 3.25%. Employees earning below ₹137/day are exempt from the employee share — the employer still pays.
What you get:
- Free medical care at ESI dispensaries and hospitals — for you and your dependants.
- Sickness benefit: 70% of daily wages for up to 91 days, on a doctor's certificate.
- Maternity benefit: 100% of average daily wages for 26 weeks (first two children).
- Disablement benefit: recurring payments for temporary or permanent disability arising from work.
- Dependant's benefit: recurring payments to the family if a workplace injury kills the insured worker.

For a worker earning ₹18,000 a month, that 0.75% deduction (₹135) buys medical cover that would otherwise cost a family far more in private premiums. The catch is that you have to be registered, and the medical card has to be in hand before the emergency, not after.

When does it apply?

You work in a covered establishment and earn up to ₹21,000/month (₹25,000 if you are a person with a disability).
You or a dependant need medical treatment and you are an insured ESI member.
You are unable to work because of illness, maternity, or a work-related injury.

What to Do If Your Employer in India Has Not Registered You Under ESI

Get your ESI card (Pehchaan Card) from the employer or the ESI branch office. This is the document that opens the door at ESI hospitals — chase it on day one of employment, not when you are bleeding in the OPD queue.
For sickness benefit, get a sickness certificate from an authorised ESIC medical officer and submit it to your employer and the ESI branch within the prescribed time.
If your employer is covered but has not registered you, file a complaint at the nearest ESI Regional/Sub-Regional office or via the ESIC grievance portal at esic.in.
Disputes over benefits go to the Employees' Insurance Court under s. 74 of the ESI Act — and there is no court fee, which is unusual and worth using.

What should you NOT do?

Do not delay getting your ESI card. Without it, walking into an ESI hospital during an emergency turns into a paperwork crisis at the worst possible moment.
Do not submit a sickness certificate late without a written reason — late filings can shrink the benefit you receive.
Do not run to a private hospital with the assumption ESIC will reimburse later. ESIC reimburses private treatment only under tightly defined conditions, usually for genuine emergencies where no ESI facility was reachable.

State Law

Use the jurisdiction bar at the top of the page to pick your state — you'll see how state law differs from Indian central law.

8 states available

Common Questions

When does employee state insurance (esi) apply?

You work in a covered establishment and earn up to ₹21,000/month (₹25,000 if you are a person with a disability).You or a dependant need medical treatment and you are an insured ESI member.You are unable to work because of illness, maternity, or a work-related injury.

What should I do if my employer in India has not registered me under the ESI scheme?

Get your ESI card (Pehchaan Card) from the employer or the ESI branch office. This is the document that opens the door at ESI hospitals — chase it on day one of employment, not when you are bleeding in the OPD queue.For sickness benefit, get a sickness certificate from an authorised ESIC medical officer and submit it to your employer and the ESI branch within the prescribed time.If your employer is covered but has not registered you, file a complaint at the nearest ESI Regional/Sub-Regional office or via the ESIC grievance portal at esic.in.Disputes over benefits go to the Employees' Insurance...

What mistakes should I avoid with employee state insurance (esi)?

Do not delay getting your ESI card. Without it, walking into an ESI hospital during an emergency turns into a paperwork crisis at the worst possible moment.Do not submit a sickness certificate late without a written reason — late filings can shrink the benefit you receive.Do not run to a private hospital with the assumption ESIC will reimburse later. ESIC reimburses private treatment only under tightly defined conditions, usually for genuine emergencies where no ESI facility was reachable.

Employee State Insurance (ESI) in other states

Same topic, different jurisdiction. Pick the one that applies to you.