In 2025, the Employees’ Deposit Linked Insurance (EDLI) Scheme of EPFO has seen a revamp thereby strengthening the protection intended for salary earners and their families. By giving wider coverage and easier-to-follow regulations, EDLI remains a very important social security benefit for workers in the private sector.
What Is the EDLI Scheme?
The EDLI Scheme, which was set up in 1976, pays out a lump sum of money to the nominee or legal heir of an EPF member in the event of death during service. It is running parallel to the EPF and EPS schemes and is applicable to all organizations which are registered under the EPF Act having 20 or more employees.
Coverage Increased to ₹7 Lakh
The year 2025 has seen a hike in the maximum insurance benefit under EDLI to ₹7 lakh, thus, providing stronger financial backing to the family. The payout that is linked to the employee’s last drawn salary is given even in the case of death abroad or outside working hours.
Latest EDLI Scheme Updates
| Feature | Previous Rule | 2025 Update |
|---|---|---|
| Maximum Insurance Cover | ₹6 lakh | ₹7 lakh |
| Eligibility | 12 months continuous service | Relaxed for short gaps in employment |
| Minimum Assurance Benefit | Based on EPF balance | ₹50,000 minimum even with low balance |
| Coverage Scope | Limited to active service | Includes deaths abroad and off-duty |
| Claim Process | Manual | Streamlined and faster |
Key Improvements in 2025
- Continuity Relaxation: Gaps of up to 60 days between jobs won’t affect eligibility for benefits.
- Minimum Benefit Guarantee: Even if the EPF balance is low, families will receive at least ₹50,000.
- Universal Coverage: All EPF members are automatically enrolled, with no exclusions.
Final Thoughts
The EDLI Scheme, in its revised form, now is not just more inclusive and generous, but also more reliable. With a higher payout limit and relaxed eligibility rules, EPFO makes sure that the families of salaried employees get timely financial support in hard times. If you are an EPF member, ensure that your nominee details are updated in order to secure the future of your loved ones.