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The auto-claim facility, launched in 2020 for illness-related withdrawals, now covers education, marriage, and housing, making PF access faster and easier for members
The EPFO aims to settle all claims—including pension, insurance, and PF withdrawals—within 72 hours. (Representative/News18 Hindi)
In a major relief for over 7.5 crore members, the Employees’ Provident Fund Organization (EPFO) has announced an increase in the auto-claim settlement limit for Provident Fund (PF) withdrawals. Union Labour and Employment Minister Mansukh Mandaviya said the limit has been raised from Rs 1 lakh to Rs 5 lakh, a move aimed at helping members access funds more swiftly during emergencies.
The new rule is set to streamline the process of withdrawing funds, making it both easier and faster. Initially introduced in 2020 during the COVID-19 pandemic, the auto-claim facility was previously limited to withdrawals for illness. It has now been extended to cover significant needs such as education, marriage, and house building.
Key Features Of EPFO Auto-Claim Facility
- Faster Processing: 95% of claims are now settled within just three days, a significant improvement from the earlier 10-day timeline.
- Withdrawal Via UPI And ATM: By May–June 2025, EPFO members will be able to withdraw PF amounts directly through UPI and ATMs.
- Lower Rejection Rate: The claim rejection rate has dropped from 50% to 30%, increasing the chances of claim approval.
- Minimal Documentation: If KYC is complete and Aadhaar, PAN, and bank details are linked, the claim is processed without needing to submit any documents.
Faster EPFO Claims With UAN And AI Integration
Members can now log in to the UAN portal, verify their KYC details, and file online claims with minimal effort. Once the UAN is linked to Aadhaar, employer approval is no longer required for updating bank details.
The EPFO aims to settle all claims—including pension, insurance, and PF withdrawals—within 72 hours. To achieve this, advanced technologies like artificial intelligence and machine learning are being implemented to improve efficiency and enhance the overall user experience.
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