The Covid-19 pandemic accelerated the shift from purely physical healthcare to a predominantly digital model, with telemedicine and remote diagnostics becoming the norm. However, post-pandemic, it became clear that neither a purely digital nor a purely physical approach was sufficient.
The healthcare sector has now embraced a "phygital" model — an integrated system that combines digital advancements with traditional healthcare practices. In India, this transformation is reshaping healthcare delivery, requiring stakeholders to navigate both physical and digital realms effectively while addressing evolving regulatory challenges.
The healthcare sector has now embraced a "phygital" model — an integrated system that combines digital advancements with traditional healthcare practices. In India, this transformation is reshaping healthcare delivery, requiring stakeholders to navigate both physical and digital realms effectively while addressing evolving regulatory challenges.
The Evolution
India's healthcare system underwent a rapid digital transformation during the pandemic, with teleconsultations surpassing 12 crore, enabling remote access to medical care at an unprecedented scale. Telemedicine, wearable health devices and AI-powered diagnostics became indispensable, proving the efficacy of digital health solutions.
However, as normalcy returned, it became evident that certain aspects of healthcare, such as in-person diagnostics, surgeries and emergency interventions, can never be fully digitised. This led to the emergence of phygital healthcare, a hybrid model that ensures patients benefit from both physical and digital care.
Wearable devices like electrocardiogram-enabled smartwatches now provide real-time health data to doctors, while AI-powered diagnostic tools complement physical examinations. Healthcare platforms are integrating telemedicine, diagnostics and medicine delivery into a unified ecosystem, leveraging technology to create seamless, end-to-end patient-care experiences that bridge the gap between virtual and in-person healthcare. The challenge now lies in ensuring both physical and digital aspects of healthcare are seamlessly integrated while addressing regulatory complexities.
Regulatory Complexities
From a legal standpoint, companies operating in the phygital healthcare space must carefully navigate the complexities of an evolving regulatory landscape while staying updated on compliance requirements. The Telemedicine Practice Guidelines, introduced in 2020, provide an initial framework, but as healthcare providers shift towards omnichannel models integrating virtual consultations, diagnostics and medicine delivery, existing regulations must adapt.
Questions around liability in cases of misdiagnosis, prescription validity and online pharmacy governance require further clarity to balance innovation with patient safety while ensuring legal accountability.
Digital therapeutics and AI-driven healthcare applications lack comprehensive oversight, adding another layer of complexity for companies navigating the phygital healthcare space. While traditional medicines undergo stringent approval under the existing legislations and regulations, digital health interventions operate in a space that is still evolving.
As healthcare providers increasingly integrate virtual consultations, diagnostics and medicine delivery, companies must remain mindful of the legal and regulatory frameworks governing both physical and digital aspects of healthcare. Ensuring compliance while leveraging technological advancements will be key to operating effectively in this dynamic ecosystem.
Additionally, the introduction of new data protection legislation has reinforced the need for stringent patient data security measures. With healthcare platforms handling sensitive medical records across digital and physical touchpoints, compliance with evolving data protection laws is critical to maintaining trust in phygital healthcare. As technology continues to blur the lines between physical and digital care, regulatory frameworks must evolve to provide clear guidelines for companies operating in this dynamic ecosystem.
Role Of Policy, Technology
The transition to a phygital healthcare model is being shaped by evolving policies and technological advancements aimed at integrating digital and physical healthcare services. A growing digital health infrastructure is facilitating interoperability between healthcare providers, enabling seamless data exchange across hospitals, pharmacies and diagnostic centres. As healthcare services expand beyond traditional settings, the need for secure and efficient digital frameworks continues to gain prominence.
Technology remains a key enabler of this shift. AI-powered diagnostic tools, IoT-enabled remote health monitoring and secured medical records are enhancing efficiency, accessibility and data security. With healthcare services increasingly operating across multiple channels, the collaboration between public and private stakeholders is playing a significant role in expanding access to integrated healthcare solutions, particularly in underserved regions.
The Future
As phygital healthcare continues to evolve, balancing innovation with regulation remains the key challenge. Policymakers must collaborate with healthcare providers and tech firms to create agile regulations that promote innovation while safeguarding patient rights.
Digital literacy initiatives for healthcare professionals and patients will be essential to drive widespread adoption of phygital health solutions. Despite its advancements, the phygital model must enhance, not replace, the fundamental doctor-patient relationship.
A well-regulated, patient-centric approach will ensure that digital tools complement human expertise rather than overshadow it. As India embraces this new healthcare paradigm, stakeholders must adapt to the nuances of a system that seamlessly integrates the best of both physical and digital worlds.
Biplab Lenin is partner at Cyril Amarchand Mangaldas.
The views expressed here are those of the author and do not necessarily represent the views of NDTV Profit or its editorial team.
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