Insurance for Contract Labour

If the location is a ‘Notified Area’ under the Employees Sate Insurance Scheme (ESI) then the workers will have to be covered under the Act. For the purpose the Contractor will have to be a registered entity under the ESI Act.

If the location is not a notified area under the ESI Act, then the workers automatically fall under the purview of the Workmen’s Compensation Act. Insurance will have to be obtained by the Contractor to cover the workers. Workmen’s Compensation Insurance can be obtained from any General Insurance Company like New India Assurance, United India Insurance, etc. The Insurance is called the Workmen’s Compensation Insurance Policy