MANAGEMENT

Detailed explanation-1: -The policy compensates employees if they are injured at the workplace. Work-related fatalities and illnesses are also covered under this policy. This type of insurance also provides financial relief to employers as it can cover the legal costs when employees press charges.

Detailed explanation-2: -The employee compensation insurance is the primary method by which an employer can demonstrate the ability to satisfy the obligations imposed by the employee’s compensation statutes. It is compensation payable under a scheme set out in the Employee Compensation Act of India, monitored by the Ministry of Labour.

Detailed explanation-3: -60% of monthly salary X relevant factors based on the age of the worker. 1, 40, 000 is the minimum amount payable.

Detailed explanation-4: -It covers the statutory liability of an employer for the death, injury or occupational disease of an employee at the workplace. As it protects the employer from incurring heavy financial obligations, the other name for it is the employer’s Liability Insurance.

Detailed explanation-5: -The Workmen Compensation Act mandates the employer to pay a compensation amount equal to 50% of the monthly wages of the deceased employee. It can be a maximum monthly wage ceiling of Rs. 8000 multiplied by the relevant factor, or a sum of Rs. 140, 000, whichever is higher.