Introduction: The Indian healthcare system is in the middle of a transformative shift, driven by innovations in digital health, artificial intelligence (AI), telemedicine, and data security. These technologies are restructuring healthcare delivery, with substantial implications for patient safety, access to care, and overall efficiency. Understanding their impact is important for stakeholders seeking to navigate and leverage these innovations for improved healthcare outcomes. Methodology: This review involved a thorough analysis of current literature, case studies, and statistical data. Sources were selected based on their relevance to digital health, AI, telemedicine, and data security within the Indian healthcare context. The analysis focused on examining the benefits and challenges associated with the integration of these technologies, as well as the influence of government policies on their adoption. Results: The review underlines both- the significant benefits and challenges of integrating these technologies into the Indian healthcare system. While advancements have led to improved patient safety, increased access to care, and enhanced efficiency, they also present challenges related to infrastructure, training, and data privacy. The role of government policies has been pivotal in facilitating the adoption and growth of these technologies, providing necessary regulatory support and strategic initiatives. Conclusion: The review underscores the transformative potential of digital health, AI, telemedicine, and data security in revolutionizing Indian healthcare. However, realizing this potential requires continued government support, strategic implementation, and addressing the challenges identified. A balanced approach is essential to leverage these technologies effectively for the betterment of the nation’s healthcare system.