Momentum Medical Scheme, the third largest open medical aid scheme in South Africa, has announced a weighted average annual contribution increase of 3.9% for 2021.
This is substantially lower than the weighted average annual contribution increase of 8.2% it announced a year ago, for 2020.
The group said that sustained growth with a favourable profile in a stagnant market, coupled with stable financials, allowed it to announce a low contribution increase in the market, without reducing benefits.
“Momentum Medical Scheme’s average age of members sits well below the industry average, and as a result thereof, our long term claims forecast allows us to keep contribution increases lower than the majority of our competitors,” said Damian McHugh, head of growth and marketing at Momentum Health Solutions.
“When one factors in a pandemic such as Covid-19, the impact of a favourable member profile becomes even more important. While we have made provision for the unexpected future pandemic-related costs, we are able to focus more on helping our members retain their medical aid cover during these tough economic conditions.”
The administrator for Momentum Medical Scheme, Momentum Health Solutions, allowed members of the scheme to fund their contributions from their HealthSaver accounts, which meant members who had positive balances could retain their medical aid cover, even if they have experienced cash flow shortfalls due to sudden unemployment or illness.
Momentum Medical Scheme retained stability in its product offering, with no reduction in benefits.
Momentum Health Solutions said it has introduced enhancements to the HealthSaver+ account that will allow contributing clients to earn up to 10% interest, depending on their Healthy Heart Score and activity level.
Conversely, these clients could enjoy interest rates as low as 0% on credit.
“We have also made it easier for clients to apply for HealthSaver through the Momentum app where they could potentially sign up and have access to the account in mere minutes, even if they choose to also apply for credit,” McHugh said.
“And, in exchange for just R36 annually, HealthSaver clients with more than R100 balance now get access to Hey Jude, a concierge service that will make it easier than ever to do anything ranging from finding a taxi or searching for a particular product to organising a birthday party – whatever they need the concierge service to assist them with.”
Customers can also donate GP visits to those in need. Clients simply use their HealthSaver funds to buy a voucher that recipients can use to see any doctor on the NetcarePlus GP network, it said.
“Momentum Health Solutions remains focused on innovation and problem solving. In so doing, striving to meet the holistic healthcare and financial needs of companies and individuals across the spectrum, uniquely positioning us to provide a safe, affordable and seamless life-journey to our clients,” McHugh said.