Medical scheme members cannot keep absorbing above-inflation increases or downgrading to cheaper options indefinitely, the Board of Healthcare Funders (BHF) says. The industry body is therefore calling for long-delayed reform of prescribed minimum benefits (PMBs) and collective tariff bargaining. BHF managing director Katlego Mothudi told Moneyweb that reform must address what schemes cover. The BHF has written to the Council…
Tag: medical aid
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Parmed Medical Aid Reform Bill Moves Through Parliament
The National Assembly is considering legislation that could end compulsory membership of the Parmed Medical Aid Scheme for MPs, judges and other public office-bearers. ActionSA MP Dr Kgosi Letlape introduced the private member’s bill. It proposes amending the Parliamentary and Provincial Medical Aid Scheme Act of 1975. Under the amendment, eligible officials would be allowed to remain with Parmed, move…
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Gap Cover Gains Importance as Costs Rise
Medical aid remains central to accessing private healthcare in South Africa, but members can no longer assume it will cover the full cost of treatment. In 2026, increases in medical scheme contributions have continued to put household budgets under pressure. Healthcare cost inflation is also running well above consumer inflation, while many scheme options have introduced more co-payments, sub-limits and…
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Health Insurance Growth Reshapes Private Healthcare Market
Health insurance is now the fastest-growing segment of South Africa’s private healthcare market, driven by consumers seeking more affordable options than traditional medical aid. Momentum Health estimates the health insurance market is growing by 14% to 16% annually, significantly outpacing the largely stagnant medical scheme sector. Over 1.2 million principal members now hold health insurance policies, covering nearly 2 million…
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Medical Aid Schemes Face Crisis As Young Members Exit
The intense debate around National Health Insurance (NHI) often dominates the news in South Africa. This focus has obscured a severe crisis within the private healthcare sector. The traditional funding model is under immense pressure. Private healthcare relies heavily on cross-subsidisation. Younger, healthier members pay premiums that fund the care of older, sicker individuals. This system only functions when enough…
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Parmed Membership: MPs Push To End Compulsory Cover
The debate over political perks has shifted to medical aid. ActionSA MP Kgosi Letlape is lobbying to end compulsory membership of the Parmed medical scheme for MPs and other office-bearers. He argues that elected officials should be able to choose their own scheme. They should also be allowed to opt out entirely. Parmed is a restricted medical scheme. It is…
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Mental Health VAT Reform: Cost Trap Deepens Care Gap
South Africans are reporting rising levels of depression and anxiety. Yet access to care is tightening. High out-of-pocket costs and an entrenched shortage of mental health professionals are leaving many people underserved. In particular, those with the greatest need are most affected. A recent advocacy document argues that government VAT rules and medical aid pricing behaviour are actively inflating the…
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Medical Scheme Increases Amidst Regulatory Concerns
For millions of South Africans grappling with the rising cost of living, the announcement that medical scheme contribution increases for 2026 will largely remain within single digits offers a welcome reprieve. However, industry experts warn that these restrained figures mask a precarious financial reality. 2026 Medical Scheme Contribution Increases: Top 5 Open Schemes Medical SchemeWeighted Average IncreaseEffective DateKey NotesBestmed6.8%1 January…
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NHI in South Africa: Political Ideology vs Reality
Following the Medium-Term Budget Statement and recent parliamentary presentations, the National Health Insurance (NHI) is back in the headlines. While there is no dispute that South Africa’s healthcare system is profoundly unequal and requires urgent reform, the path forward remains fiercely contested. The current friction stems from a policy shift in 2007. Before this, post-apartheid reform favoured a phased approach…
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Medical Scheme Tax Credits: Finance Minister Expresses Caution
Finance Minister Enoch Godongwana has sounded a strong note of caution. The Department of Health’s proposal to fund the controversial National Health Insurance (NHI) involves phasing out medical scheme tax credits. Speaking to journalists shortly before tabling the Medium-Term Budget Policy Statement (MTBPS) in Parliament, the Minister expressed deep concern over the potential impact on taxpayers. The Department of Health…
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‘Mega Gap Claims’ Explode by 512% as Medical Aid Shortfalls Soar
South African medical scheme members are facing an unprecedented financial crisis, as new data reveals that “mega” out-of-pocket gap claims have exploded by 512% in just four years. This alarming trend highlights the soaring medical aid shortfalls patients are forced to pay, driven by specialists charging up to 500% of scheme rates and medical aids systematically reducing benefits. The data,…