A very interesting ands similar thread was initiated by an employee at following link:
https://www.lawyersclubindia.com/forum/details.asp?mod_id=46155&offset=2#.UFdAaWcWrts
You may go thru it.
The inclusion of the members in the scheme also is a matter on which the members will have no choice. Everybody fulfilling specified criteria will have to compulsorily join the group. Usually, when the scheme is being introduced for the first time, the existing members will be given a choice of joining or not joining the scheme, to be made within a specified time, will be final.
The premium will be paid to the insurer by the policyholder who may or may not collect the same from individuals concerned. In many employer schemes the entire premium is paid by the employer. Sometimes employees are made to contribute part of the cost.
You have posted that :
--“When they sent mail regarding this insurance scheme i thought those who are interested can approach them for enrolling”. In all probabilities HR shall interpret that no reply is taken as consent. However the language of the email should be carefully studied.
Companies are known to draft and craft communication implying that no reply shall be taken as deemed consent however in matter posted by you it may not work.
As legislated deductions e.g. tax, can be made from salary as pointed out by Mr. Sudhir Kumar also, however some deductions shall require private agreement between employer and employee.
Did you approach the HR to decline the policy for you in time limit specified by company in its email?
--“In previous years insurance premium would be mentioned as a seperate part of our CTC. and was not part of our fixed salary and was paid by the company.”
Now you have a reason to agitate as the premium is deducted from your salary.
In previous thread mentioned above it was posted that:
--“ 1) there is no contribution towards premium by employer. and entire premium is taken by employee only.
and
2) In case of any claim, 20% will be paid by company”
In this case employer has acted smart and clever and may find it difficult to convince the lawful authority that it has acted in good faith, as the number and amount of claims can not be forecasted to employee. The insurance company which has negotiated the policy must have obtained date of age, vintage, health record from the company files and healthy employees may find the terms of policy repelling.
Employer may post the 20% amount of claim as deductible business expense as per provisions of policy and laws applicable to it.
Payment of premium by employer and addition of premium in CTC of employee, 20% co- payment by employee in case of claim could have been a better, reasonable, palatable option.
Deduction of premium from salary of the employee requires written consent of employee.
However you may check your salary slip and see under which head the deduction is made.
It is felt that all affected, aggrieved employees ,may submit their representation in writing to good offices of appointing authority, MD, Company Secretary and company may yield to noise level created jointly and may agree to charge on pro rata basis and may even reimburse the amount.
