Epfo new rules for edli scheme: EPFO means The Employees Provident Fund Organization (EPFO) has made three major changes in its Employees Deposit Linked Insurance (EDLI) scheme. The main objective of these changes is to provide more financial security to the families of EPF members and make the process of death claims easier. These changes in the scheme will increase insurance coverage and the family members of the members will get more financial security than before. Let us know what are these changes and how they will get benefit.
EPF member will get benefits even after death before one year job
Under the new rules, even if a new EPF member dies within a year of joining the job, his family will still get a minimum insurance benefit of at least Rs 50,000. Earlier, in such a situation, no minimum amount was fixed. A statement issued by EPFO said, “If an EPF member dies without completing a continuous service of one year, his family will get a minimum life insurance benefit of Rs 50,000. This amendment is expected to benefit family in more than 5,000 cases of death during service every year.”
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EDLI will be benefited even after the contribution is closed for a few days
The second change is related to cases in which the EPF member dies during the job, but their contribution in EPF has stopped for some time for some time. According to earlier rules, if an EPF member died after a non-contributory period, the family did not get the benefit of the EDLI scheme. It was considered to be the death outside service. But under the new rules, if the EPF member dies within 6 months of getting the last contribution and his name is made in the company’s record, then his family will get the benefit of insurance under the EDLI scheme.
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EDLI scheme will be benefited even after getting a gap while changing the job
The third major change is for those EPF members, due to changing jobs, there is some time gap in service. Under the old rules, even if an EPF member’s service was also given a gap of even a day or two, it was not considered a continuous service and his family could not get a minimum benefit of Rs 2.5 lakh or a maximum insurance benefit of Rs 7 lakh. According to the new rule, now it will be considered to be a continuous service even if there is a maximum gap between two jobs. This will maintain the eligibility to get maximum insurance benefits under the EDLI scheme. EPFO believes that this change will provide relief to more than 1,000 families every year.
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What is EDLI scheme?
EPFO’s employee deposit linked insurance (EDLI) scheme is a life insurance scheme, which is registered under the EPF scheme. This scheme was launched by the Government of India in 1976. Under this scheme, if an EPF member dies during a job, his family gets insurance benefit of up to Rs 7 lakh.
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These three amendments made by EPFO have made the EDLI scheme more effective and inclusive. These changes announced in the 237th meeting of the Central Board of Trustees (CBT) held on 28 February 2025 will make the process of death claim easier than before. Due to which thousands of families are expected to benefit every year.
