The Employees’ Deposit Linked Insurance Scheme, 1976 framed under EPF & MP Act, 1952 provides Life Insurance up to Rs 7,00,000/- with a minimum of Rs 2,50,000/-. The Insurance amount will be paid to the nominee of the deceased member if dies while in service. The employee need not pay any contribution for this Scheme, but the employer contributes 0.05% of the wages of the employee.
The employee who is a member of EPF Scheme will automatically becomes the member of EDLI Scheme and no separate registration is required. The Insurance benefit is based on average of last 12 months salary of the deceased member.