The Ministry of Labour and Employment has recently announced that the Employees’ State Insurance Corporation (ESIC) will now be able to identify its beneficiaries using Aadhaar authentication. The initiative aims to ease the delivery of social security benefits and bring transparency in administration.
The ministry has clarified that Aadhaar authentication will be completely optional. If a beneficiary does not want or is unable to authenticate with Aadhaar, he will not be denied ESIC benefits in any way. In such cases, passport, PAN card or driving license will be accepted as identity proof.
Issuing a notification on August 19, 2025, the ministry said, “The Employees’ State Insurance Corporation (ESIC) is permitted to use Aadhaar authentication for the purpose of ensuring the identity of the beneficiary. This permission has been granted under Rule 5 and Section 4(4)(b)(ii) of the Aadhaar Act, 2016.”
Also, the notification also states that Aadhaar authentication will be done only after obtaining the consent of the beneficiary. This rule has come into effect from the date of publication of the notification in the official gazette i.e. 19 August 2025. ESIC is constantly working towards improving its medical services and facilities. Aadhaar authentication is an important step taken recently in this direction.
Why is Aadhar card necessary?
Using Aadhaar number to prove identity makes it easier for people to avail subsidies, schemes and services. It eliminates the need for multiple documents, simplifies processes and ensures transparency and efficiency.
The notification further said, “Aadhaar authentication will be done on the digital platform to ensure good governance and to prevent wastage of benefits of social welfare schemes. It will be used to ensure delivery of social security benefits only to the genuine beneficiaries and for effective functioning of the schemes.”
