Strap In. The Road Is About To Get Bumpy.

A lot is happening in the world right now, and it affects us in a big way. I will not wander down the “BRICS” road, nor will I talk about who supplied who and who is on who’s side. I can tell you that now is the time for you as a consumer to start holding onto your hats; the train has left the station, and if you are not strapped in, it will get bumpy.

Let’s start at the beginning. The most important part of any insurance product is to understand the function of that product and where it ts in. We have seen that consumers don’t really understand what products are necessary/valuable and at what age. And yes, insurance is a grudge purchase, but with the cost of living now, it is advisable to have some form of insurance.

Medical Aid

Medical aid cover has become very expensive. Most schemes have had interim increases, which were not well-received. The main reason was claims. Providers charge what they want, so if they raise their cost from R380 per consultation to R750, they are allowed to. Pharmacies can charge more due to the import price of medication, and in general, most of our equipment and technology are imported. Thus, it becomes more expensive due to import costs. Post Covid-19, the claims per member increased, mainly because during 2020/2021, elective procedures were kept to a minimum. The industry and medical schemes have not only taken the brunt of Covid-19 claims but also post Covid-19 and long Covid-19 claims.

Your need ultimately drives what type of plan and how much day-to-day you require. A healthier lifestyle could save you money in the long run. If you are nearing the age of 35 and you do not have medical aid, you should consider joining a
scheme. The Medical Scheme Act clearly states that a penalty must be applied if you have not been on a scheme from age 35, and this penalty is added for the rest of your life. There are some ways of getting around this in the employer space, but
there is no option in the individual sector. Let’s do the right thing. Let’s educate our friends and family on why medical aid became expensive and why any person should have medical aid over the age of 35.