Employee Wellness Plan

An employee wellness plan can be curated for businesses of all sizes and industries. Generally, businesses seeking higher productivity, boosting employee health, and retention benefit from the wellness plan. So, from small companies and SMEs to startups and large corporations, every organization needs an employee wellness plan. However, for organizations based in healthcare, manufacturing plants, tech companies, and other evolving startups, employee health insurance is considered a mandatory preference for the employees, making it an attractive

An employee wellness program creates an employee-centric culture, with the advantages to both the employers and employees visible in the long run. Let’s understand the benefits of employee wellness programs as follows:

• Higher levels of productivity: With comprehensive health insurance support from employers, employees have required financial security in the event of any unprecedented health emergency, thereby increasing their productivity and inclination to perform best at their workplace.

• Higher employee retention: Companies offering employee wellness programs commit to prioritizing the needs of the employees, making them secure and have a higher job satisfaction index, thereby making the company a preferred place to work.

• Tax benefits: Businesses opting for health insurance plans can claim the premium costs under business expenses and reduce tax deductions under Section 17 of the Income Tax Act.

• Improvement in work culture: The plan cultivates a wellness-driven culture with initiatives that support work-life balance, build a positive reputation, and mutually benefit employers and employees.

• Securing the best talent: The best talent in the industry compares and analyzes their value with compensation and employee benefits, making companies with employee wellness plans a definite preference.

• Cost-effective: Businesses can get comprehensive coverage at lower premium prices, thereby reducing the overall healthcare cost with collective bargaining for other benefits as well.

Generally, companies opt for corporate health insurance plans and add-on covers based on the collective requirements of the employees. To offer comprehensive benefits to employees that support overall physical and mental well-being, employers generally opt for wellness program initiatives. Some of the examples of such initiatives are as follows:

• Mental health resources: Several companies initiate support for mental health with counseling or therapy sessions, workshops on mental well-being, and activities such as group meditation and mindfulness to reduce stress and increase the concentration power of employees.

• Fitness classes or gym reimbursement: Companies partner with gyms or health clubs to organize in-house fitness classes such as Yoga, Zumba, Dance, etc., so employees can also focus on physical fitness and have a work-health balance. This also includes partnerships with gyms or reimbursement of membership fees for gyms as a part of employee benefits.

• Health fairs: Companies can organize health fairs that provide employees with health education and awareness and also have health risk assessment activities where screening tests are conducted.

• On-site or Near-site clinics: Some employers can opt for collaboration with expert physicians from clinics located in the vicinity or have a clinic on-site, which saves time and costs for both the employers and employees.

• Weight management: One of the key benefits of employee wellness plans for employees is weight management, as it helps them achieve physical fitness through combined digital and human interventions that redirect them to exercise and nutritious diet preferences.

With a comprehensive employee wellness plan, the employees will have access to good health and a financially secure future. Let’s understand the coverage details of the employee wellness plan:

• Pre-existing diseases: The plan’s health insurance provides coverage for medical expenses for pre-existing diseases such as diabetes, hypertension, heart disease, thyroid disorders, etc.

• Pre and post-hospitalization expenses: The plan offers coverage for any medical expenses involved 30 days before hospitalization and 60 days post-hospitalization.

• Health Assistance services: The employee wellness plan provides dedicated health assistance services that include teleconsultation in multiple languages and other forms of assistance to resolve all health-related queries.

• Coverage for room rent: Apart from the coverage for treatment, the employee wellness plan also provides coverage for expenses incurred during hospitalization.

• Cashless treatment: With access to an extensive array of network hospitals partnered with top insurers, corporate group health insurance facilitates cashless treatment.

• Maternity cover: Employers opt for maternity cover in their employee wellness plans which provides coverage for both normal and C-section child delivery and other expenses involved in maternal care during pregnancy.

• Add-ons: The employee wellness plan can have several add-ons to ensure the holistic well-being of the employees. This includes health check-ups, pharmacy benefits, daily health and wellness subscriptions on certain apps, etc., to offer more benefits to improve the overall mental and physical well-being of employees.

The employee wellness plan focuses on improving the overall health of employees, but the policy also has certain limitations to coverage based on the policy and employees’ condition. Let’s understand the different exclusions:

• OPD treatment: The employee wellness plan does not provide coverage for Out-Patient department costs, such as routine health check-ups, doctor consultation, and minor surgeries which don’t require in-hospital admission for more than a day.

• Non-medical consumables: The employee wellness plan excludes coverage for non-medical consumables which include syringes, cotton, masks, crepe bandages, surgical blades, etc., which could be used for surgery or care.

• Preventive care: The plan does not provide coverage for any costs involved in diagnostic tests, check-ups, and other activities related to preventive care.

• Infertility and related conditions: Any costs incurred in the treatment of infertility and other conditions are not included.

• Admin or Service costs: Any expenses to support fitting of devices like rods, or prosthetics which can support the functioning or replacement of an organ are excluded.

The cost of an employee wellness program varies according to the requirements of the business and varying factors specific to the companies. This includes:

• Size of the company and the number of employees

• Type of plan: If the coverage is specific to solely employees or extends to dependents such as spouses, kids, parents, etc.

• Scope of benefits

• Coverage limit

• Prior claims history

• Nature of the business

The cost of an employee wellness plan can also depend on the current growth dynamics of the business, where more employees will be hired, or attrition. For calculating the precise cost of employee health insurance for your business, visit our online portal here.