Lee-Ann Du Toit
Global Credit Ratings “GCR”, an independent agency that rates medical schemes’ claims paying ability, has for the sixth consecutive year afforded Momentum Health an A+ rating, denoting the scheme’s high claims-paying ability.
Several positive aspects were highlighted as part of the GCR findings, including the support of the greater Momentum Group, which is widely acknowledged as a leading financial services group in South Africa. Also noted were the large risk pool of the scheme, the favourable age profile of members, historical membership growth as well as the scheme’s sizeable reduction in non-healthcare expenditure.
According to Lee Ann du Toit, Chief Marketing Officer of Momentum Medical Scheme Administrators, the scheme has the full backing of the Momentum Group, a highly reputable, large financial institution. “The Momentum Group has been entirely supportive of our objectives to maintain a sustainable scheme going forward. We did not hesitate to put pen to paper with a written undertaking to provide additional capital to the Scheme in the event that reserves should reduce beyond a pre-determined level. This effectively not only provides the scheme with a strong vote of confidence from the Momentum Group, but also offers protection against unforeseen events.”
According to Du Toit, some of the factors that have made the Momentum Health medical aid particularly attractive to members include its competitive pricing strategy, carefully designed product offering and above all, its “Value of Choice“ proposition to members that represent the core of its brand and encapsulates what the scheme stands for.
Momentum Health’s continued “Value of Choice“ innovations have proven successful, particularly when its favourable membership profile is considered – a factor that positively impacts a scheme’s ongoing sustainability. “We pride ourselves on six unique selling points that distinguish us from other players in this industry. These are: our provider choices (enabling savings on contributions through selection of associated provider groups), the Momentum Health Platform (paying for preventative/screening care and maternity-related benefits without impacting savings/day-to-day benefits), the Mobicard (mobile application to access membership information), Multiply (Momentum’s loyalty/wellness programme), Health Saver (enabling members to tailor day-to-day funding to their individual needs) and the Momentum Compliance Incentive™ Programme (rewarding members through HealthReturns for taking care of their health and being active).”
Du Toit notes that the scheme has managed ongoing growth with a sustainable membership profile over the past five years and is firmly on track to continue this trend in 2010. The Scheme has just recently received approval from the Council for Medical Schemes to pursue an amalgamation with Ingwe Health Plan – an open scheme comprising around 15 000 principal members and with an average age of 29 years that is well below the estimated industry average of 44 years. She points out: “The proposed transfer of Ingwe Health Plan’s members into the Momentum Health medical scheme will offer a stable and secure platform for these members, coupled with the benefits of being associated with a well-known brand and a wider range of benefit options. Momentum Health on the other hand will stand to benefit from additional membership growth, whilst enhancing its overall sustainability and future positioning.”
The proposed merger between Metropolitan and Momentum will also unlock many opportunities, particularly within the healthcare businesses of the two organisations. This is according to Du Toit, who says that the joining of the two organisations will position Momentum Health, the largest open medical scheme under administration of the new entity, particularly strongly in terms of its future.
“The consolidation of the healthcare funding interests of Metropolitan and Momentum will achieve economies of scale that will set the platform for the Scheme to become an even stronger, better-positioned and more influential industry player going forward. These are exciting times for Momentum Health, as the larger administration platform supports greater efficiencies, higher quality and more diverse skill-sets within the business,” asserts Du Toit.
A close look at industry statistics reveal that with the completion of the merger the new healthcare administration company will, in terms of size, rank amongst the top two healthcare administrators in the country.
Looking ahead, Du Toit said that, in view of the good track record and anticipated growth prospects of Momentum Health, it is not difficult to see why this medical aid continues to instil trust and security amongst all its consumers and stakeholders.
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