ESI Non-Implemented Areas: Is Private Insurance a Good Alternative and How to Get Exemption?

Hi friends,

Please tell us about the ESI non-implemented areas. We are considering private insurance. Is it okay or not okay? Is there any procedure for ESI exemption in non-implemented areas?

Thank you.

When you are in an ESI non-implemented area, there is no need for seeking ESI exemption, as ESI applies only in notified areas. So there is no need to worry on this count. But be on the watch out, as the ESI contribution is insisted from day 1 of the notification and any delay is met with penalties and damages.

When ESI does not apply, the Employee Compensation Act of 1923 applies, and you may take suitable insurance coverage in consideration of this liability.