Gratuity Insurance
Secure your employee gratuity liabilities efficiently
Manage your long-term statutory liabilities through structured funding, ensuring financial stability and tax efficiency.
Who It's For
Key Risks Covered
Building problem awareness for your business
Future Liability Burden
Sudden financial strain due to large, unfunded gratuity payouts at retirement or resignation.
Cash Flow Impact
Unplanned payouts affecting the company's working capital and financial planning.
How We Structure Your Gratuity Insurance
Actuarial Valuation
Determining the current and future gratuity liability as per statutory norms
Fund Selection
Choosing the right investment vehicle to grow the gratuity corpus
Tax Optimization
Structuring the trust to maximize tax deductions under the Income Tax Act
Administrative Setup
Streamlining the process for payouts and record-keeping
Core Benefits
Exclusions (What's Not Covered)
Understanding the boundaries of your protection
Why CKP for Business Insurance
Your strategic partner in risk management
Strategic Advisory Approach
We assess your risks first, then recommend the right coverage — not the other way around.
Expert Guidance
Clear, practical advice tailored to your needs, risks, and financial goals.
Transparent Process
No hidden terms. No confusion. You understand exactly what you're buying.
Long-Term Support
From policy selection to claims — we stay with you at every step.
Common Risks & Mistakes
Avoid these pitfalls to ensure robust protection
Not funding liability
Poor actuarial planning
Looking to secure your employee liabilities?
Get expert advisory on Gratuity Insurance to ensure statutory compliance and financial stability.
Frequently Asked Questions
While the Payment of Gratuity Act makes the payment mandatory, formal funding through an insurer is a best practice to ensure you have the funds ready when needed.
Contributions made to an approved gratuity fund are deductible as business expenses under Section 36(1)(v) of the Income Tax Act.
It is calculated based on the employee's last drawn salary and years of service, typically using an actuarial valuation to account for future increments and attrition.
The funds in the gratuity trust are specifically meant for paying gratuity to employees and cannot be used for other business purposes.