State-owned Life Insurance Corporation of India (LIC) disclosed having Rs 7,318.5 crore in unclaimed funds as of March 31, 2026, including Rs 5,564.5 crore from policyholders and Rs 1,753.95 crore in accrued income. The Employees’ Provident Fund Organisation (EPFO) clarified that it does not maintain unclaimed accounts but has Rs 9,330.5 crore in inactive EPF accounts.
EPFO has initiated a pilot project to automatically transfer funds up to Rs 1,000 to eligible inoperative accounts linked with Aadhaar-verified beneficiaries to expedite small balance settlements. The government assured that there are no plans to divert idle provident fund balances for other purposes, emphasizing that the funds are reserved for eligible subscribers or their beneficiaries.
Efforts are ongoing to enhance the identification, verification, and settlement of unclaimed financial assets through digital processes, including Aadhaar-based authentication. The Employees’ Provident Fund Organisation and the Employees’ State Insurance Corporation are pivotal in providing social security benefits to millions, with the government focusing on reforms to broaden coverage and improve service delivery.
