Momentum announces big medical aid price hikes for 2025

Momentum Medical Scheme will implement an annual contribution increase of 9.4%.

The group said that for the tenth year in a row, none of its members will see a double-digit increase and no benefit reductions.

The added increase is expected to be one of the lowest in the industry, which should ensure that the lowest average increase amongst the large medical schemes over the past decade will continue.

That said, the increase is slightly above Discovery’s weighted average increase of 9.3% for 2025.

“The Scheme’s approach to contribution adjustments is guided by a thorough analysis of healthcare cost trends, member utilisation patterns, and economic factors,” said Damian McHugh, Chief Marketing Officer, Momentum Health Solutions.

“By taking a data-driven approach, Momentum Medical Scheme made informed decisions that benefit both members and the Scheme.”

Momentum said that although there is more positivity around the South African economy, unemployment remains high, and consumers must make tough choices.

It is noted that the medical scheme industry is also not immune to this trend, as consumers are taking their financial constraints into account when evaluating their medical scheme choices based on the coverage that they can afford rather than what they actually need.

Medical inflation has increased far above CPI again, which was suppressed below CPI during the Covid-19.

“When considering a medical aid option for the upcoming year, it is crucial to understand how these adjustments impact choices. Prioritising value over cost is essential; cheaper plans often come with limited benefits and higher out-of-pocket expenses,” said Momentum.

“Investing in a comprehensive plan that meets healthcare needs ensures the best care and support. By understanding the full range of benefits, members can make informed decisions that maximise their health outcomes and financial well-being.”

Momentum Medical Scheme will also introduce benefit enhancements in 2025 to improve its members’ overall healthcare experience.

The enhancements include an updated low-income option, easier and more accessible rewards, the ability to use rewards to pay medical scheme contributions, and a new digital process demonstrating how much consumers can save monthly without buying down.

Other changes

With many unable to afford traditional medical aid, Momentum Health4Me’s health insurance product has increased by over 5% over the last six months to 220,000 beneficiaries.

The group added that Multiply is also moving from a traditional loyalty programme to incentivising healthy behaviour. The approach aims to reward members for improving their physical and mental health.

“In 2025, Momentum Multiply will continue to promote healthier lifestyles among members, reinforcing the belief that your health is your wealth,” said McHugh.

Momentum Multiply will also offer all its members digital health and fitness assessments.

“By leveraging data and personalised insights, Momentum Multiply will continue to offer tailored recommendations and rewards that align with individual health goals, making it easier for members to stay on track and achieve their wellness objectives,” said McHugh.

Members can use their rewards to pay their monthly medical scheme contributions.

Read: R303 per month saving for the average household in South Africa – with more relief around the corner