2021 medical aid price increases… you may want to sit down for this one
Can you feel it? It’s the medical aid schemes doing it to you!Kieno Kammies, presenter - CapeTalk
If you’re a medical aid scheme – I don’t give a damn who you are – if you are trying to shnaai my listeners; we will tell people who you are!Kieno Kammies, presenter - CapeTalk
The Council for Medical Schemes (CMS) recommends that medical aid companies freeze or limit contribution increases to 3.9% in 2021.
Inflation measured at 3.2% in July 2020, the latest available figure.
In previous years, the CMS recommended price increases of inflation plus 3%.
Medical aid schemes are very unlikely to heed the Council’s call, says Clayton Samsodien, CEO of Phoenix Financial Services Group.
Members should expect increases of 5% to 6% for next year, according to Samsodien.
Kieno Kammies interviewed him.
NHI is going to happen sooner than we think…Clayton Samsodien, CEO - Phoenix Financial Services Group
We won’t see 3.9%. We’ll see 5% to 6%... Healthcare inflation is averaging 8%...Clayton Samsodien, CEO - Phoenix Financial Services Group
We’ve seen a 50% drop in people going for tests and screening, resulting in a material saving for medical schemes… who now sit with surpluses…Clayton Samsodien, CEO - Phoenix Financial Services Group
I have a virtual conversation with my specialist. Instead of R1200, the virtual session costs R600. It’s accepted by my medical aid – they pay for it… If we all practice that, we’re almost doubling our benefits…Clayton Samsodien, CEO - Phoenix Financial Services Group
I’ve seen four schemes that published rate increases… and tampered with benefits… I was shocked when I saw a small increase, but with reduced benefits… hiding how they cut their benefits… it’s not right!Clayton Samsodien, CEO - Phoenix Financial Services Group
Listen to the interview in the audio below.
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