There is no labour law which mandates group medical coverage to employees. Of course, depending upon salary conditions 9say Rs 21000 or less) employees should be covered by ESI schemes and that is not a group medical cover but is independent. Similarly, in respect of employees who are not covered by ESi due to the reason that their salaries are more than Rs 21000, separate insurance policy under the Employees Compensation Act may be (MAY BE) taken. Insurance under Employees Compensation act is mandatory only for employees mentioned in Schedule II of the Act. Moreover, it is not a medical cover which will take care of medical hospitalisation expenses of the workers.