The Employees’ Provident Fund Organisation (EPFO) has increased the auto-settlement limit for advance claims from ₹1 lakh to ₹5 lakhs. This move is set to benefit millions of EPFO members by enabling faster access to funds, especially during times of financial urgency.
Originally introduced during the COVID-19 pandemic, the auto-settlement feature was designed to provide quick financial assistance. It has since been expanded to include claims for medical treatment, education, marriage, and housing. The automated process ensures transparency and eliminates delays caused by manual intervention.
Union Minister Dr. Mansukh Mandaviya shared the announcement, emphasizing that the claims will now be processed within 72 hours, reinforcing the government’s pro-people approach and use of technology for efficient public service delivery.
In FY 2024–25, EPFO processed a record 2.34 crore advance claims via auto-settlement — a 161% increase over the previous year. So far, in FY 2025–26, over 76.5 lakh claims have already been settled through automation, accounting for nearly 70% of all claims.
This expansion in the settlement limit will further accelerate disbursal rates, reduce member grievances, and support EPFO’s goal of using technology to improve service delivery. The organization continues to focus on process simplification and automation to ensure a smooth and timely experience for all its members.
Source: PIB
