Advertise Here
Icon

Directory

IconAssociations and Institutes
IconBBBEE Consulting and Verification Agencies
IconCompare Medical Scheme Benefits
IconConsumer Protection
IconCorporate Governance
IconCredit Bureaus
IconEmergency Medical Rescue
IconExpatriate Cover
IconHealthcare Consultants
IconMedical Aid Brokers
IconMedical Aid Schemes
IconMedical Malpractice Cover
IconMedical Schemes Trustees Liability Insurance
IconMedical Service Providers
IconOmbud
IconOnline Quotes
IconPublications
IconRegulatory Authorities
IconWellness Programs
Image
  Subscribe To »

Genesis Medical Scheme announces the lowest contribution increase for 2020

Published

2019

Mon

11

Nov

Across the private healthcare industry in South Africa, members of medical schemes are bracing themselves for a 10% increase in their 2020 contributions, exceeding the general inflation rate by 4.6%.  With average salary increases that are usually lower than 10%, most people will be hit hard if their 2020 increase in medical scheme cover once again consumes a larger portion of their salary.

Lowest increase for 8th consecutive year

Therefore, contrary to the above statistics in the private healthcare industry, we are pleased to announce that for the eighth consecutive year, Genesis will have the lowest average contribution increase of all open medical schemes in South Africa for 2020.

According to Dennis van der Merwe, the Principal Officer of Genesis Medical Scheme, the average contribution increases announced by some of the bigger open medical schemes for next year is in the region of 9.8%.  The good news for Genesis’ members, on the other hand, is that their increase will average only 5.4% in 2020 - almost half of what members of other medical schemes may have to budget for.

Benefits of self-administration

Given our current economic climate, the multiple challenges we face with private healthcare costs and government’s attempts to change the entire healthcare landscape, you may ask just how it is possible for Genesis to be rated as one of the top medical schemes in South Africa and, at the same time, maintain such low annual contribution increases, year after year. 

Dennis van der Merwe, Principal Officer of Genesis, explains, “The Scheme’s ability to offer such a low increase in contributions, coupled with benefit enhancements and not reductions, as is the case with some other medical schemes, is a result of the benefits of self-administration, prudent risk management, positive financial and operational performance, steady membership growth and a young membership profile.” 

Focus on risk cover that matters most

Van der Merwe continues to explain that the Scheme’s focus is on the provision of primarily catastrophic cover - that is, the big accident, illness or disease.  “In order to keep contributions as affordable as possible, Genesis does not follow the general trend of trying to be everything to everybody, but to rather provide the best possible, no-frills and easy-to-understand benefits to a niche market in South Africa, with client centeredness and service remaining the key differentiators,” comments Van der Merwe.

Affordable medical cover is what Genesis does best.  According to data published by the financial advisory group GTC, the average increase across medical aid schemes over the last decade has hit as high as 6.4 % points above inflation.  On the other hand, Genesis has maintained average contribution increases in line with or below inflation over the last decade.                   

Depending on which benefit option Genesis members are on, the Rand value of the 2020 contribution increases range between R0 and R155 per adult per month. According to Van der Merwe, it is important that members of medical schemes consider the actual Rand value of their 2020 increases and not just values expressed as percentages. “We pay our bills with money; not percentages.

There can be no doubt that we are experiencing some very challenging times financially.  Each month the task of balancing the budget takes on a new meaning with the ever increasing cost of petrol, food, electricity, water and just about everything that we need to run our households.  Members of medical schemes should consider their options carefully and do their homework properly.  Expensive medical aid cover does not buy a better bed in hospital and it is for this reason that Genesis encourages everyone to weigh up their in-hospital (risk) cover in relation to what they pay.

 
Source: Elmarie Jensen | Marketing Manager | Genesis Medical Scheme
 
« Back to previous page Print this page » |
 

Breaking News »

FINANCIAL RELIEF FOR MEDICAL SCHEME MEMBERS

Medical aid members who are looking for payment relief could have a possible solution to hand – but terms and conditions apply, says Susan Weedman, Alexander Forbes Health Senior Consulting Manager   The ...
Read More »

  

WHY MEDICAL AID SHOULD BE IMPORTANT TO MILLENNIALS

Millennials may question the need to have medical cover, as they consider themselves to be fairly healthy, active and may not have existing chronic medical conditions. At some stage of our lives whether ...
Read More »

  

Covid-19: TERS - 5 important updates

by Joon Chong, Dhevarsha Ramjettan, Johan Olivier, Shane Johnson, Bianca Viljoen, Zipho Tile   Since the launch of TERS, there has been (almost) daily changes introduced ...
Read More »

  

1Life Insurance offers free tuition for school children through Boston City Campus Connect and Ivy Digital

1Life Insurance has reaffirmed the company’s long-standing commitment to educating South Africans by launching a new partnership with Boston City Campus Connect and Ivy Digital, that will provide children ...
Read More »

 

More News »

Image

Investment »

Image

Life »

Image

Retirement »

Image

Short-term »

Advertise Here
Advertise Here

From The Glossary »

Icon

Fund of Funds:

A fund of funds is a unit trust fund that invests in a range of other unit trusts. A dedicated fund manager makes the selection from any unit trust fund with specific performance objectives in mind. A fund of funds can offer reduced risk and lower volatility because of unit trust diversification. The cost of a fund of funds are higher than ordinary unit trust, as they are always invested in at least five underlying unit trusts. The investor should ...
More Definitions »

 

Advertise

 

eZine

 

Contact IG

 

Media Pack

 

RSS Feeds

By using this website you agree to the Terms of Use.
Copyright © Insurance Gateway (Pty) Ltd 2004 - 2020. All Rights Reserved.