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Significance

The amendments, approved by Congress last month, include the elimination of the Health Institute for Wellbeing (INSABI). Its functions will be transferred to a specific body of the Mexican Social Security Institute (IMSS), IMSS-Bienestar, which provides healthcare to those not registered with a social security provider.

Impacts

IMSS-Bienestar, like INSABI and Seguro Popular previously, will disincentivise informal workers and employers to enter the formal economy.

Any major expansion of IMSS-Bienestar coverage in 2023-24 will increase budgetary pressures.

Public health will be a major 2024 election issue, with opposition candidates likely to offer to bring back Seguro Popular.

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