ESIC Fixes Funeral Benefit at ₹20,000 Under Social Security Code
The Employees' State Insurance Corporation (ESIC) has notified that the amount payable towards funeral expenses under the Code on Social Security, 2020 will be ₹20,000.
The notification was issued on 7 October 2026 under Section 32(1)(f) of the Code, using powers given by Rule 21 of the Social Security (Central) Rules, 2026. It was published in the Gazette on 16 October 2026 and applies retrospectively from 8 May 2026.
Funeral expenses are a social security benefit under the Code and the Rules. The money goes to the eldest surviving member of the family of a deceased Insured Person to help meet funeral-related costs.
Under Section 32 of the Code, if the deceased Insured Person had no family or was not living with their family at the time of death, the benefit is paid to the person who actually spends on the funeral.
The benefit is meant to give financial assistance to eligible beneficiaries for funeral costs after the death of an Insured Person.
Source: SCC Times