There is big news for the Employees Provident Fund Organization (EPFO) members. Union Labor and Employment Minister Mansukh Mandavia said on Tuesday, June 24, 2025 that the Employees Provident Fund Organization has extended the provident fund (PF) auto claim settlement limit to extract easy funds. Let’s know in detail about the increased auto claim settlement limit.

Members will be able to remove 5 lakhs

According to the report, EPFO ​​has increased the auto claim settlement limit of Rs 5 lakh for all advances. For the first EPFO ​​members, this limit was Rs 1 lakh, from which funds can be used immediately for needs. Provident Nidhi launched the auto settlement of the advance claim during the Corona epidemic in 2020, allowing members to easily remove funds.

The EPFO ​​said that with an increased limit of Rs 5 lakh, advance claims will now be through auto settlement, which will process them within three days of submitting. This upgrade limit and faster access on funds will help the member to get financial support at the time of the most needs.

How to work auto claim to work

Auto claims work at the automatic level through the settlement system, which does not have any human intervention. This ensures rapid change and transparency. The Employees Provident Fund Organization (EPFO) works under the Ministry of Labor and Employment, Government of India. It manages the Employees Provident Fund (EPF), which is a retirement benefit plan available for all salary employees in India.

Let us tell you that in FY 2024-25, EPFO ​​processed 2.34 crore advance claims through auto settlement, which is 161 percent growth compared to the previous year. Notable, 59 percent of all advance claims were dealt with auto mode in 2024–25. In the first 3 months of FY 2025-26, EPFO ​​has so far done auto settlement of 76.52 lakh claims.

Insurance policy claim: No one can tell about when the time of a human being changes. Many times the situation becomes such that we might never even think about it. Now take the incident of Air India crash in Ahmedabad on June 12, did anyone have any possibility of this horrific accident? Now during this time, a question will come in us that if both policy holder and nominee die in the insurance policy?

Many cases are coming up after aircraft accident

According to a PTI report, after the Ahmedabad plane crash, there were many cases where both the policy taking and the claim receiving the claim have died in the accident. Air India’s Boeing Dreamliner aircraft, which left for London Gateway from Ahmedabad, crashed in Meghani Nagar area. In this, 241 passengers including crew members died.

Apart from this, 34 people at the accident site also lost their lives. In such circumstances, family members facing sorrows also have to think what will happen next, how to claim money received in insurance? Let us tell you through this news that if both policy holder and nominee die, then who will get insurance money?

Does the insurance policy be confiscated?

First of all, let us know that the insurance amount is never seized, but becomes part of the property of the policy holder. Usually legal successors such as children, living parents or spouse can claim it. After the Air India accident, similar cases are coming in front of many insurance companies. Many insurances like LIC, IFFCO Tokio, Tata Aig have got such claims in which both policy holder and nominee have died.

Who gets the claim money?

According to the PTI report, some companies are relaxing formalities for instant claim settlement, such as LIC said that instead of waiting for the order from the court in these cases, the deficiency and compensation bonds are accepting the legal heirs instead of waiting for the order from the court, provided that the successors agreed to how to pay the amount received from the Claim Settlement. Usually insurance companies pay money after confirming a policy holder or nominee for a person who examines and claims documents.

Now the second question is that if there are many legal heirs, then what does the company do in this situation? In the Hindu Succession Act, the legal heirs are divided into two classes. Among them, class one legal heirs in the first category such as son-daughter, wife, mother. If there is no class one legal heir, Class 2 is considered, which includes father, siblings, nephews and nieces.

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