Momentum Health has announced that prices for its medical aid plans will be hiked by an average of 8.3% in 2018.
Momentum Health is the third largest open medical scheme in the country, after Discovery and Bonitas, with over 150,000 principal members.
The group said that the scheme managed to grow in 2017, despite it being “a highly competitive market”, that has been stagnant for the last couple of years.
“With an average beneficiary age of 32.7 years and an average principal member age of 42.1, the scheme attracts young members, which contributes to a solvency level of 25.6%, which has been consistently over the regulatory requirement of 25% for the last five years,” it said.
As is indicated by regulatory frameworks, solvency is identified as a key benchmark for the sustainability of a scheme, giving members the necessary reassurance of claims payment ability.
Price changes for medical aids in South Africa are guided by the inflation rate + 3%, which for 2018 is around 9%. So far, the announced average increases have come under that limit, though the ranges across different schemes vary.
So far the announced changed are:
- Discovery – 7.9%
- Momentum – 8.3%
- Bonitas – 8.7%
Changes for 2018
According to Momentum Health, the group’s HealthReturns programme has been updated for 2018, and will now be linked to the contributions members pay to their medical scheme.
HealthReturns – coupled with Multiply, Momentum’s wellness and rewards programme – encourages and rewards members who want to start doing the right thing: making small changes in their lives to become healthier and more active in the long run.
Another new change introduced for 2018 across Momentum Health schemes is the Multiply Money Visa Card.
According to the group, this optional card will be an easier way for members to access funds in their HealthSaver accounts. It provides members with the convenience of paying providers instantaneously at the doctor’s rooms, purchasing over the counter medications, and even paying for pets’ visits to the vet (subject to funds available in one’s HealthSaver account).
“This small enhancement will lead to an even greater financial wellness outcome, allowing Momentum clients the ability to manage their money into the future. The Multiply Money app can be linked to a member’s bank account, giving them an easily accessible and consolidated view of their finances,” it said.