Employee Benefits
Health Wallet
A health wallet is a fixed annual amount an employer gives each employee to spend on approved healthcare like consultations, medicines and tests.
What is a health wallet?
A health wallet is a digital balance that an employer loads for each employee (and sometimes their family) to spend on approved health services during the year. It is usually used for everyday, outpatient needs that hospitalisation insurance does not cover.
Common uses include:
- Doctor consultations, in person or by teleconsultation
- Prescribed medicines
- Lab tests and diagnostic scans
- Dental and vision care
- Physiotherapy, counselling or nutrition sessions, depending on the plan
Wallets can be open (spend at any provider and claim back with bills) or network-based (spend directly at partner clinics, labs and pharmacies). Many plans combine both. Unused balance usually lapses at the end of the year unless the plan says otherwise.
Why it matters for employers
For most employees, everyday health needs in a typical year are outpatient rather than hospitalisation. A health wallet makes everyday care easier to afford and easier to access, which can encourage people to see a doctor early rather than delay.
For employers, a wallet offers:
- Predictable cost – the budget per employee is fixed in advance.
- Choice – employees use it on what they need, which suits a diverse workforce.
- Insight – anonymised, aggregated usage data can show which services employees value.
To make a wallet work well:
- Define clearly what is and isn't covered, and keep the claim process simple.
- Offer cashless options through a provider network so employees don't pay and wait.
- Remind employees of their balance during the year, not only at the end.
- Protect privacy: HR should see aggregated reports, not individual diagnoses.
Example
An employer adds a family health wallet to its benefits. In March, an employee uses it for her son's paediatric teleconsultation and prescribed medicines delivered home. In August, she books a dental cleaning at a partner clinic and pays nothing at the counter. HR receives a quarterly report showing overall wallet usage by category, with no personal medical details.
Key takeaways
- A health wallet funds everyday outpatient care up to a fixed annual limit.
- It complements, rather than replaces, group health insurance.
- Cashless network access and simple claims drive higher use.
- Learn more about OPD and everyday care benefits.