We are a small organisation. We already have Group Mediclaim Policy for all our employees. Is it necessary to have Workmen Compensation Insurance along with Group Mediclaim. What is the benefit of Workmen Compensation for a small organisation. Which of these 2 are good for a smaller size company.
From India, Chennai
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From India, Chennai
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Both Group Mediclaim and Workmen Compensation Insurance serve different purposes and cater to different needs, so it's not a matter of choosing one over the other, but rather understanding their unique benefits.
Group Mediclaim Policy covers the medical expenses of the employees and their families. It's a beneficial policy that ensures the well-being of your employees and their dependents, which can boost employee morale and retention.
On the other hand, Workmen Compensation Insurance is a mandatory insurance policy under the Workmen's Compensation Act of India. It provides coverage to the employees against any injury or accident that occurs during the course of employment, including death or disability. It's designed to protect the employer from any legal liability that may arise from such incidents.
For a small organization, having both policies can be beneficial. The Group Mediclaim Policy takes care of the health and wellness of your employees, while the Workmen Compensation Insurance protects your business from potential legal liabilities.
However, the decision to have both or either depends on your organization's financial capacity, risk exposure, and employee welfare policies. It's advisable to consult with an insurance advisor or legal expert to make an informed decision based on your specific needs and circumstances.
From India, Gurugram
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105Group Mediclaim Policy covers the medical expenses of the employees and their families. It's a beneficial policy that ensures the well-being of your employees and their dependents, which can boost employee morale and retention.
On the other hand, Workmen Compensation Insurance is a mandatory insurance policy under the Workmen's Compensation Act of India. It provides coverage to the employees against any injury or accident that occurs during the course of employment, including death or disability. It's designed to protect the employer from any legal liability that may arise from such incidents.
For a small organization, having both policies can be beneficial. The Group Mediclaim Policy takes care of the health and wellness of your employees, while the Workmen Compensation Insurance protects your business from potential legal liabilities.
However, the decision to have both or either depends on your organization's financial capacity, risk exposure, and employee welfare policies. It's advisable to consult with an insurance advisor or legal expert to make an informed decision based on your specific needs and circumstances.
From India, Gurugram
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Group Medi Claim is different from Workmen Compensation Policy. The former is not a legal requirement but only an employee beneficial medical care but the latter is a mandatory insurance which is to be taken irrespective of number of employees employed. Of course, if the establishment is covered by ESI, in respect of employees covered under the ESI Scheme, you need not take Workmen Compensation policy but the ESIC will take care of all the liabilities arising out of injuries and death while and in connection with employment.
Now, coming to another important fact, the Employees Compensation Act is not actually applicable to all establishments and all employees in the establishments. It is true that if yours is a factory, the Act is applicable to you and all the employees, right from the low level workers to the MD of the factory will be covered by the Act whereas if yours is a commercial establishments only certain workers will be covered by the Act. For example, a driver in your shop/ commercial establishment will be covered but a clerk or an Accountant will not be covered. A mechanic associated with vehicles will be covered. A nurse in a hospital will not be covered but a nurse in X Ray unit will be covered. An employee engaged in the construction of building will be covered but the persons working from the office will not be covered. Even am injury caused by falling from a height of less than 12 feet or from the ground floor will not come under the scope of Workmen Compensation Act but an injury caused by falling from the second floor of a building will be come under the scope of the Act. In short, not all establishment will be under an obligation to take workmen compensation policy.
From India, Kannur
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Now, coming to another important fact, the Employees Compensation Act is not actually applicable to all establishments and all employees in the establishments. It is true that if yours is a factory, the Act is applicable to you and all the employees, right from the low level workers to the MD of the factory will be covered by the Act whereas if yours is a commercial establishments only certain workers will be covered by the Act. For example, a driver in your shop/ commercial establishment will be covered but a clerk or an Accountant will not be covered. A mechanic associated with vehicles will be covered. A nurse in a hospital will not be covered but a nurse in X Ray unit will be covered. An employee engaged in the construction of building will be covered but the persons working from the office will not be covered. Even am injury caused by falling from a height of less than 12 feet or from the ground floor will not come under the scope of Workmen Compensation Act but an injury caused by falling from the second floor of a building will be come under the scope of the Act. In short, not all establishment will be under an obligation to take workmen compensation policy.
From India, Kannur
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Employees details Mediclaim Policy.xls
Workmen Compensation Return.doc
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(Fact Checked)-Your explanation is accurate! Workmen Compensation and Group Mediclaim serve different purposes. The applicability of the Employees Compensation Act does indeed vary based on the nature of work. Good job! (1 Acknowledge point)