MyMoney Online

Why medical aid is woefully inadequate (and how affordable gap cover helps)

(Click here for more personal finance articles.)

It may come as a shock, but it’s all there in the small print; most medical schemes do not fully cover you when you’re hospitalised.

Your medical aid limits its cover to the Medical Scheme Tariff (MST) which invariably falls way short of what doctors and/or specialists typically charge.

For a fraction of your monthly medical scheme premium, Gap Cover will ensure that you are not left out of pocket.

Although specific products vary, the majority will cover up to 400 percent to 500 percent of the MST.

In addition, many of them offer other benefits like cover for co-payments as well as accident benefits.

If you don’t have Gap Cover you will have a very large shortfall should you end up in hospital.

Having medical aid or a hospital plan is not enough to fully mitigate financial risk in this regard.

Claude Hannah is a financial planner for Venn-Sure Consulting. He completed his degree in Financial Risk Management from the University of Stellenbosch in 2006 and is currently in the process of completing the post graduate CFP qualification. Claude helps to organise and simplify the often complicated and busy financial lives of his clients. He takes great pride in providing the highest level of service to help his clients build and protect their wealth.


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Best share on the JSE to buy, right now, and 2 from abroad (by Luthuli Capital)

Best share on the JSE to buy, right now, and 2 from abroad (by Luthuli Capital)

The Money Show’s Bruce Whitfield interviews Luthuli Capital’s Mduduzi Luthuli.

Does your Tax Free Savings Account suck? You’re not stuck! How to transfer…

Does your Tax Free Savings Account suck? You’re not stuck! How to transfer…

How to – quickly and easily – transfer in or out of an existing Tax Free Savings Account, for whatever reason.

Got a bad spending habit? Enter Money Rehab (don’t say ‘no, no, no!’)

Got a bad spending habit? Enter Money Rehab (don’t say ‘no, no, no!’)

Want to live a less stressed, financially secure life? Old Mutual’s John Manyike has tips to help you kick your spending habit.

Tips and tricks to save on insurance (and general info about it)

Tips and tricks to save on insurance (and general info about it)

The Money Show’s Bruce Whitfield interviews Old Mutual Head of Financial Education John Manyike.

Savers rejoice! South Africa gets tax-free savings accounts on 1 March 2015

Savers rejoice! South Africa gets tax-free savings accounts on 1 March 2015

Savers rejoice! On 1 March 2015 government introduces tax free savings accounts. Financial planner Claude Hannah explains…

How much you should save for retirement

How much you should save for retirement

You know you should save for retirement, but do you know how much? Financial planner Claude Hannah breaks it down in simple terms.

Popular articles
[LISTEN]Tempers flare as Eusebius grills SABC's Maroleng about hiring and firing

[LISTEN]Tempers flare as Eusebius grills SABC's Maroleng about hiring and firing

Embattled public broadcaster's new COO, Chris Maroleng tries to defend SABC about Sakina Kamwendo incident.

'White South Africans learning an African language would show respect'

'White South Africans learning an African language would show respect'

A video of a white man speaking fluent TshiVenda went viral, but languages expert Dr Dowling says most black people speak English.

Water to be released from Berg River to Misverstand Dam to avoid Day Zero

Water to be released from Berg River to Misverstand Dam to avoid Day Zero

Government has put plans in place to prevent the Misverstand Dam from running dry in a week's time.

What Hashim Amla's fascinating story illuminates about South African society

What Hashim Amla's fascinating story illuminates about South African society

Writer Niren Tolsi says SA cricketer Hashim Amla is the living embodiment of a nation trying to express itself while healing.

Highly-criticised world athletics body's rule could end Caster Semenya's career

Highly-criticised world athletics body's rule could end Caster Semenya's career

She faces ongoing complaints from rivals about having an "unfair advantage" on the track, but how fair is this proposed IAAF rule?

Cape plumber designs device to ensure geyser water doesn't go down the drain

Cape plumber designs device to ensure geyser water doesn't go down the drain

Wattapac is a water-saving bladder and pump designed to help plumbers save as much as 1 000 litres of water a day.

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Madiba’s private secretary Zelda la Grange opens up about money (hers and his)

Bruce Whitfield interviews La Grange about her and Madiba's attitude to money (hopes and fears, successes and failures, etc.)