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SA’s three biggest medical schemes have announced their price hikes – here’s how they compare

Following Discovery and Bonitas, the Momentum Health medical scheme also announced its contribution increase for 2020.

At a weighted average annual hike of 8.2%, it’s the lowest of the three.

SA’s biggest medical scheme Discovery will hike its contributions by an average of 9.5% next year. Last year, Discovery increased its contributions by 9.2%.

Average contributions for Bonitas, the second-largest medical scheme in the country, will increase by 9.9% from next year, with increases ranging between 6.2% and 11.9%.

“Although the industry increases this year may appear steep during a tough economic climate that continues to put a strain on consumers’ pockets, various factors need to be considered, such as rising medical inflation rates, ageing scheme profiles and regulatory requirements,” says Damian McHugh, executive head of sales and marketing at Momentum Health Solutions.

The private medical aid industry normally hikes rates by the consumer price inflation plus 4%. Consumer inflation for August was 4.3%.

Momentum says it didn’t reduce benefits, but “in most cases” increased benefit limits. Its maternity benefits now include a nurse visit at home for new moms. It also launched a new medical scheme option, aimed at millennials.

Article credit: https://www.fin24.com/Money/Health/sas-three-biggest-medical-schemes-have-announced-their-price-hikes-heres-how-they-compare-20190923

By | 2019-10-02T07:02:28+00:00 September 29th, 2019|LATEST NEWS|Comments Off on SA’s three biggest medical schemes have announced their price hikes – here’s how they compare

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