Fury over 16% Medshield hike

January 24, 2012

by Londiwe Buthelezi (Business Report)

Medshield members have complained of “extremely unfair and unreasonable” contribution increases that boxed them in after the medical aid scheme’s premium increases for 2012 were double the average of other schemes.

Medshield’s contributions went up by 16 percent for the second consecutive year on some options. The adjustment was far above the latest consumer price index (CPI) annual rate of 6.1 percent for November last year.

It was also well above the 4.3 percent to 5.3 percent increase recommended for 2012 by the Council for Medical Schemes (CMS). Other medical schemes increased their 2012 contributions by 8 percent on average.

Discovery, the largest scheme, increased its contributions by an average of 8.9 percent and Bonitas premiums rose 8.4 percent across all options. The increase for Momentum Health was an average of 8.8 percent and Liberty Health went up by 9.9 percent.

In correspondence with beneficiary Yvonne Moss, Medshield said its 2012 rules were approved by the CMS and argued that the contribution adjustments supported the enhancement of benefits.

Read the full article in ~uBusiness Report#www.iol.co.za/business/business-news/fury-over-16-medshield-hike-1.1218658~

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