Dedicated medical scheme for the consumer goods industry

Ian Isdale

CGMS to offer care to thousands, shaking up the medical schemes market

In a transformative move for South Africa's consumer goods industry, employees will have access to a sector-specific medical scheme designed to meet their healthcare needs. This initiative, in a sector that plays a vital role in the national economy, aims to improve the wellbeing of several thousand individuals within the industry.

Built on a solid legacy that has served the industry for over 30 years, the improved, rebranded Consumer Goods Medical Scheme (CGMS) currently covers more than 4 500 members with a solvency level in excess of 40%, positioning it for continued long-term success and sustainability. Administered by Universal Healthcare since its inception 31 years ago, the scheme initially served the healthcare needs of Tiger Brands, Spar, Sea Harvest and Adcock Ingram employees. It will, however, now be open to all companies within the consumer goods industry and their employees. Its tailored, member-centric approach will ensure members receive evidence-based healthcare services, focusing on affordability, sustainability and excellence.

"This is an important moment for the health and wellbeing of consumer goods industry employees," comments Ian Isdale, member-elected Trustee of CGMS. "The newly repositioned and rebranded scheme has, over the years, been designed to address the specific clinical needs and circumstances of those working in the sector. A sector-specific restricted scheme can provide personalised, member-focused solutions that open schemes may not offer. We are not starting from scratch; we're building on decades of experience and an understanding of what our members want and need. With its existing four member employer base in the industry, making it available to all employers and employees in the consumer goods sector made sense."

The launch of the CGMS comes at a decisive moment for South Africa's medical schemes landscape, one ripe for innovation and a renewed focus on member needs. Over the past 20 years, the medical schemes industry has experienced significant consolidation, shrinking from 144 schemes in 2000 to 71 in 2023, serving approximately 8.9 million members (Council for Medical Schemes Industry Report 2023). Amidst this consolidation, the launch of the CGMS represents a welcome injection of new energy into the market.

“Recognising that employees in the consumer goods industry have varying needs, the scheme offers four carefully tailored benefit options. These options ensure that all employees can access high-quality, affordable healthcare. Furthermore, the scheme's product design ensures that every income bracket within member companies is accommodated, fostering equality and inclusivity in healthcare access. By providing options that cater to varying needs and income levels, the CGMS is strengthening healthcare access for all employees in the consumer goods industry," says Isdale.

The consumer goods industry is one of the cornerstones of South Africa's economy, employing millions and fuelling growth and development. The CGMS is dedicated to safeguarding the health and productivity of this vital workforce and empowering businesses to champion their employees' wellbeing while becoming healthcare advocates for them.

"By delving into the health risks and lifestyle demands of the consumer goods industry, we've crafted benefits that offer specific support to tackle these challenges head-on. The CGMS is committed to long-term sustainability, ensuring every member has access to high-value medical scheme cover with a secure track record of serving some of the industry’s largest employer groups," adds Isdale.

Here's what sets the CGMS apart:
• Customised benefits: The medical scheme option selection process for employers and employees has been considerably simplified to eliminate confusion and facilitate the selection of suitable benefits.
• Personalised care: Considering each member’s unique clinical circumstances, we view every individual as a person and not simply a medical scheme number.
• “Personalised banker model”: Key account managers are on hand to provide personalised service, ensuring that healthcare needs are understood and addressed with focused attention.
• Discretionary ex-gratia benefits are available to members.
• Healthcare cover for the wider community: Dependants are also covered.
• Alignment with consumer brands industry: Corporate values and culture have been strengthened to underscore the industry’s dedication to employer wellbeing.
• Tech-savvy support: The CGMS leverages technology to enhance the member experience, providing 24/7 access to claims, benefits and support through the Universal.one App.
• Industry-led governance: The CGMS's Board of Trustees comprises 50% employer-appointed and 50% member-elected representatives attuned to the consumer goods sector's unique needs.
• Chronic care champions: The CGMS prioritises comprehensive support for members with chronic conditions, ensuring dedicated access to ongoing treatment.

“The scheme represents a strategic expansion of access to tailored medical scheme benefits for consumer goods companies. As the scheme grows, it can help shape the future of industry-specific medical schemes in South Africa. Employers seeking high-quality, industry-tailored benefits for their staff are invited to consider the CGMS. By joining, they can facilitate employees' healthcare needs in a way that benefits both employers and employees,” notes Isdale.

“CGMS is dedicated to transforming the lives of consumer goods employees by adopting agile, innovative healthcare solutions. We are committed to supporting the health journeys of our members by embracing technology and enhancing benefits to establish sustainable, transformative care. In a healthcare funding industry dominated by consolidation, the CGMS launch signals a refreshing era of innovation and a renewed focus on prioritising members," he concludes.