Employee (workmen) Compensation

The Indian Workmen's Compensation Act 1923, and its subsequent amendments provides for the payment of compensation by the employer to his employees or their dependents in the event of fatal accidents if personal injury is caused to them by accidents arising out of and in the course of their employment.

The Workmen’s Compensation policy covers the liability of an employer for employment injury (including death) sustained by any employee who is a ‘workman’ as defined under Workmen Compensation Act.  All workers/employees who are not covered under the ESI Scheme come under the purview of the W.C. Act.   Even causal  workers are covered by this law.  In case of workers employed by a contractor, the principal employer and  not the contractor who is liable under this act as though the worker was directly employed by the principal. Piece rated workers are also “workmen” for the purpose of this act.

The policy provides for   liability under:   

• The Indian Workmen's Compensation Act 1923 and subsequent Amendments of the said Act prior to the date of issue of the policy. 
• Indian Fatal Accidents Act, 1855 and
• Common  law.

The policy can also cover medical, surgical, and hospital expenses on payment of extra premium.

The Premium rate depends on the occupation of the workmen and his/her annual “Earnings”