Introducing The 2% Club: Leading India’s Healthcare Revolution

Introducing The 2% Club

Last week, we had the privilege of hosting close to forty People Success leaders at the Conrad over drinks and dinner.

This wasn’t an ordinary meetup, but an introduction to The 2% Club – an exclusive community of leaders at companies where the moat is people.   

After a great night of healthy discussion (and even debate), I wanted to write a little note about the genesis of The 2% Club and why we think this community will write India’s health story this decade. 

The idea of The 2% Club was born in April, when we launched our flagship report, The State of Employee Benefits 2024.

An extensive study across 80+ health benefits offered by more than 4500 companies across the country, the report revealed two trends we found interesting 

First, companies in the top percentile were not defined by industry or company size, but rather by their intent to do right by their talent.

Secondly, most of these companies spent approximately 2% of their payroll on employee benefits – which translated into a health benefits stack at par with most global giants. 

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We did not want to limit this club to numbers. After multiple conversations with leaders over the last few months, we realised The 2% Club isn’t a monolith defined by metrics, but rather a function of your intent to invest in your biggest moat – talent. 

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The biggest investments that the best companies today make are in people – to hire, nurture, and retain your best, and therefore – The 2% Club is a celebration of your values, your aspirations, and the impact that makes you one of the country’s best employers.

What does The 2% Club look like? 

To us, companies in The 2% Club differentiate themselves from the rest through two key traits: 

They treat employee benefits as an investment in their talent
The people success leaders who consistently ask us what the best health policies look like, look at data extensively to decide if a certain benefit is actually useful and not lip service, and hold us to the highest standards of quality – be it the policy construct or their team’s experience with our offerings. 

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They’re the country’s best employers 

They’re dream companies for prospective talent, and great places to work.

Their investment in people extends beyond payroll, but also includes their actions, policies, perks, and initiatives.

There’s little surprise that most of these companies are also Great Place to Work Certified. 

The 2% Club is writing India’s Healthcare Story 

We believe the next decade is going to be revolutionary for employee healthcare, with three key trends driving this.

Between employer-sponsored health insurance and retail health insurance, only one is clearly driving penetration and protection in the country. 

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But that’s not all – there’s also a shift in mindset towards healthcare and benefits amongst both employees and employers.

Three clear indicators: 

Firstly, healthcare is now at the centre of people’s priorities. Fun fact — organic food market in India is growing at a faster pace than health insurance.

Secondly, employees’ are holding their companies to higher standards. Most people rank health benefits amongst the top 3 criteria when deciding between job offers

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And finally, companies are thankfully realising and investing in health.

‍Over the last year, the median sum insured has increased by 66%, companies offering great maternity benefits have increased 15%, and there’s a 110% surge in primary and preventive healthcare investments among startups purchasing insurance for the first time. 

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Over the next ten years, we believe The 2% Club will become the norm, and we’re proud to be playing a small part in it. If you’d like to know more about The 2% Club and how we’re enabling them, feel free to write to me – I’m only a DM away on LinkedIn.