Are rising healthcare costs eating into your business’s bottom line? For Indian businesses, keeping up with government healthcare changes isn’t just good citizenship, it’s smart business.
With the government’s total healthcare allocation reaching ₹90,659 crore in 2024-25 – a 13% jump from last year – there’s never been a better time for businesses to understand the impact of these initiatives.
In this editorial, we’ll walk you through the key healthcare initiatives by the Indian government in 2024, how they affect your business, and what opportunities and compliance needs you should keep in mind to ensure you’re making the most of these reforms.
Top 4 Government Healthcare Initiatives and Programs by the Indian Government in 2024
Let’s break down the major healthcare programs that can help you foster a healthier workforce with the added benefits of cost savings and tax incentives.
1. Ayushman Bharat Expansion
The government has broadened this flagship program Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (AB-PMJAY), now offering ₹5 lakh per year in health coverage for citizens over 70, regardless of income. With nearly 6 crore senior citizens set to benefit, this is a huge step in the right direction.
As a business owner, this is an opportunity for you to reduce costs on corporate medical policies for older employees while ensuring they get comprehensive care. For family-owned businesses, this coverage extends to elderly family members as well.
2. Pradhan Mantri Ayushman Bharat Health Infrastructure Mission (PM ABHIM)
With a hefty ₹3,757 crore allocation for 2024-25, PM ABHIM is setting up 17,788 Health and Wellness Centers across India. For your business, this means more accessible healthcare options near your workplace. You can cut down on employee medical leaves and transport costs by connecting with these centers for routine check-ups and primary care.
3. Ayushman Bharat Health and Wellness Centres (AB HWC)/Ayushman Arogya Mandir
Launched on April 14, 2018, as a part of the Ayushman Bharat initiative, these health and wellness centers are bringing quality healthcare closer to workplaces. In 2023, HWCs were renamed as Ayushman Arogya Mandir’.
This initiative focuses on expanding access to affordable and quality healthcare, especially in rural and underserved areas, by offering preventive, promotive, curative, and rehabilitative services at the grassroots level.
4. Pradhan Mantri Suraksha Bima Yojana (PMSBY)
This accident insurance scheme can be a smart add-on to your existing employee coverage. At just ₹12 per year annum per person, it provides ₹2 lakh coverage for accidental death. Consider adding PMSBY to your benefits package. It’s a small cost for your business that adds significant value to your benefits package.
What These Health Programs Mean for Your Business
- Cut Costs: Reduce insurance spending using government schemes you’re already funding through taxes.
- Tax Benefits: Get tax benefits when you align your wellness programs with government initiatives. Smart compliance equals smart savings.
- Attract Talent: Government-backed programs give you an edge in hiring without breaking the bank.
- Better Productivity: Fewer sick days, better output through healthier employees.
- Business Growth: Use health partnerships to expand your market reach.
The Bottom Line
Your next business advantage might not be in your market strategy, but in how you handle employee health. Government healthcare programs offer you tools to cut costs, boost morale, and drive growth. The question isn’t whether you can afford to participate – it’s whether you can afford not to. Something to reflect upon, isn’t it?
