Saturday, 25 July 2015

Progressive Lifestyle and its Regressive Perks - CAUTION

In the early 80’s most diseases in India had their root cause attached to poverty. Now after 3 decades when India has clearly advanced from that situation and is amongst the  potentially developing nations in the world, most of the diseases today are linked to prosperity referred to as “Lifestyle Related Diseases(LRD)".
Communicable diseases like malaria, cholera and polio have become manageable due to recent advancements in medicines. However a new breed of diseases have developed called ‘Lifestyle Related Diseases’ like heart diseases, some cancers and diabetes, which are no longer a problem just for the wealthy few. Due to demanding schedules, high stress levels, bad eating habits, inactivity and performance-linked perquisites in private sector, nearly 85% of employees are afflicted to life-style, chronic diseases and acute ailment compared to government employees who are ranging below 8%. (according to a recent survey conducted by ASSOCHAM on the occasion of 'World Health day').
Globally 14.2 million people between the age group of 30-69 years die prematurely from these diseases annually. These diseases have emerged as bigger killers than infectious or hereditary ones. The common risk factors for these diseases include tobacco use, unhealthy diets and physical inactivity. 
Let’s have a look at the top 10 lifestyle diseases that corporate India need to take-up seriously for a broader perspective to keep their most valuable assets healthy and productive. Besides savings cost, corporates should focus on building a culture of living & feeling fit within their workplace.

Friday, 17 July 2015

Can I Budget my Employee Benefit’s cost? – YES!!

In today’s time every corporate be it a domestic or a MNC is looking at having the most efficient employee benefit polices in order to recruit & retain the best talent in the industry. Besides to consistently keep growing in the fiercely competitive world corporates have begun to feel the need to identify what’s suits best for their population, work profile & demography on the benefits offerings.

The most important & basic benefit in India happens to be the medical Insurance protection which the employer provides its employees and their dependents. Although its taken by the employee that the medical benefit will be amongst the most basic benefit which he/she would be entitled.However the employee have absolutely no clue about the financial pressure organizations are going through to curtail the ever growing cost every year yet ensuring the benefits are bettered or at least maintained every year. Organizations are grappling with the increasing cost on medical benefits owing to which either they prefer to hop insurers every year (which is surely not a viable option anymore) or ask the employees to share the premium bringing down their own liability or finally start reducing the benefits.

However the fact still lies that organizations can very well budget for their medical benefit cost provided they are open enough to understand viability & sustainability in providing these benefits. Since every risk has a rational and medical benefit is no exception there is a slow transition especially via the MNC’s in India who are spending a lot of time and efforts through their broker in structuring their medical benefit portfolio in line with the organizational requirement and at the same time ensuring long term cost viability .The below two simple & rational principles which can ensure that the cost for group mediclaim is controlled and sustained over a years are: