Friday, September 30, 2022
HomeWeekly RoundupSA's main medical schemes increase contributions well above inflation rate

SA's main medical schemes increase contributions well above inflation rate

South Africa’s three largest medical schemes, Discovery, Bonitas, and Momentum, have all announced contribution increases well above inflation or 2020, says a Business Insider report.

Discovery, the country’s largest medical aid representing nearly half the market, increased fees by an average of 9.5% after increasing fees by 9.2% for 2019. Bonitas, the second largest medical scheme in South Africa, increased fees by an average of 9.9%, and Momentum by 8.2% – the lowest of the three, but still well above the general rate of inflation.

The report says by law medical aids in South Africa are not for profit membership schemes, even though they can be administered by for-profit companies. Though they can set their own benefits, which can differ substantially between schemes and different options within schemes, all must provide members with a set prescribed minimum benefits without the need for any co-payments.

Most medical schemes in South Africa offer options below R1,500 per member per month, but, the report says, those are often limited to participants earning below a certain threshold.

[link url="https://www.businessinsider.co.za/cheapest-entry-level-medical-aid-south-africa-discovery-bonitas-momentum-2019-9"]Business Insider report[/link]

Subscribe to our Newsletter

Receive Medical Brief's free weekly e-newsletter.

* indicates required