Shashank Chapekar , Chief distribution officer , ManipalCigna health insurance

In today’s world, group health insurance must be flexible and inclusive, meeting the needs of a diverse workforce comprising full-time multigenerational employees, remote workers, and gig workers. Employers now must rethink their group health insurance strategies, focusing on flexibility, cost optimization, and long-term value creation.

The era of 9-to-5 job is over, and in today’s rapidly evolving work environment, does your group health insurance truly cater to the diverse needs of your workforce?

As employees span multiple generations—from Baby Boomers to Gen Z—the one-size-fits-all approach to health benefits is becoming a thing of the past. The workplace is seeing changes across the board with remote work and gig workers taking center stage. In these changing times, one could see the need to take a fresh look at aspects such as group health insurance, an essential part of the employee benefits package.

In today’s world, group health insurance must be flexible and inclusive, meeting the needs of a diverse workforce comprising full-time multigenerational employees, remote workers, and gig workers. Employers now must rethink their group health insurance strategies, focusing on flexibility, cost optimization, and long-term value creation.

A new take on the modern workforce
Traditionally, group health insurance plans offered a uniform set of benefits to all employees. However, with healthcare costs rising on a yearly basis, and the diverse expectations of a multi-generational workforce, companies are pivoting towards personalized and flexible options.

A recent study by Mercer India found that over 60% of employees prefer customizable health benefits, reflecting an urgent need for insurers and employers to move beyond rigid plans. Preventive care programs and customized wellness plans that reduce long-term healthcare costs with self-funded insurance plans will also be beneficial. AI and analytics tools can help employers assess claims data, forecast long-term healthcare costs, etc.

Fixing the gig economy conundrum

The pandemic made remote work normal and allowed workers to work on projects across geographies. Meanwhile, the rise of quick commerce has also made gig work popular.

The Union Budget 2025 has taken a significant step toward bridging the healthcare gap for India’s remote workforce and gig workers, a segment expected to grow to 23.5 million by 2030 (NITI Aayog). Recognizing the lack of structured health benefits for this workforce, the government has announced the expansion of the Pradhan Mantri Jan Arogya Yojana (PMJAY) to cover 10 million gig workers, ensuring access to quality healthcare.

This progressive move aligns with India’s “Insurance for All by 2047” vision, ensuring equitable access to medical care while encouraging formalization within the gig economy. With rising medical costs and an evolving labour market, these initiatives mark a crucial shift toward universal health protection, strengthening both financial security and workforce resilience.

Wellness and Preventative Healthcare Incentives
Employers now offer base coverage with optional add-ons, allowing employees to personalize their benefits. A hybrid approach—combining employer-sponsored insurance with voluntary top-ups—ensures coverage without significantly increasing corporate expenses.

Companies are integrating:
• Wellness rewards (discounts on premiums connected to individual fitness activities)
• Annual health checkups
• Mental health support programs

Can adaptable group health insurance help?
Investments in solid group health insurance plans will benefit employers and employees. Employers can reap the cost benefits, while employees will see their health and well-being as a top priority, thereby driving comment. By tweaking insurance with data-driven tech, companies can reduce costs. It must be seen as a long-term investment in workforce well-being to make sure productivity is high.

As the workforce diversifies, group health insurance must evolve into a flexible, data-driven, and inclusive model. Employers who embrace customization, cost optimization, and digital healthcare will not only enhance employee well-being but also strengthen workforce retention.

The question now is – is your organization ready for the future of employee health benefits? Now is the time to innovate, adapt and build a sustainable insurance strategy.