Weighing up your healthcare options
Weighing up your healthcare options
NMG Benefits’s Healthcare Director Toska Kouskos was quoted extensively in the Personal Finance section of the Weekend Argus and Weekend Star on 4 October.
October 4 2014 at 06:10pm
By Laura du Preez
It’s that time of year again when medical schemes are sending out details of their benefit changes and contribution increases for 2015.
You may have read of average contribution increases, but you shouldn’t assume that your increase will be the average, because the increases that will apply across the options might differ substantially.
Toska Kouskos, the head of health care at NMG Benefits (which provides intermediary services), says the contribution increases for 2015, which, in the main, range from seven percent to 12 percent, are higher than NMG had expected, whereas salary increases are typically well below this.
Some announcements of contribution increases have been misleading – for example, a relatively low average increase for risk contributions (excluding savings accounts) was announced, but the scheme failed to mention that it will also be compulsory for members to contribute to a medical savings account.
Kouskos says you are likely to face the highest increases if you belong to a low-cost or a comprehensive option, because these options again last year had the worst operating losses (contributions did not meet claims and other expenses).