ESI Act is applicable where ESIC can provide medical benefits. Where ESI Act is not applicable or where employees are out of coverage because of higher salary, employer is responsible for the compensation to an injured employee. Employer will not know as to when will be the accident and of what severity. Hence he will not know how much compensation will have to be paid. Further in case of death or permanent total disability the of employee the amount of compensation is to be paid through Court. It is, therefore, wise to take out a policy which is commonly known as WC or now EC Policy. This policy is a standard policy available with any Insurance Company. But this policy covers only injuries arising out of and in the course of employment. If employer wants to cover employees 24X7 then a general policy is taken. This policy covers all employees all the time for any injury anywhere.