EMPLOYER - EMPLOYEE SCHEME
As per the instruction issued vide Circular Ref. U & R 20/2007 dated 24th October 2007. LIC were not allowing insurance under the employer-employee scheme if the beneficial ownership of the employee in the employer company is in excess of 5% For ascertaining the limit of 5% shareholding or ownership held by concerned employee, his/ her spouse, children, sons-in-law, daughters-in-law. parents brother or sisters was being aggregated together.