Council for Medical Schemes withdraws accreditation of Strata Healthcare Management (PTY) LTD, as managed care organisation

The Council for Medical Schemes (CMS), regulator of the medical schemes industry, has withdrawn the accreditation of STRATA Healthcare Management (PTY) LTD as a managed care organisation with effect from 31 May 2017. This follows the entity’s failure to meet ‘the fit and proper’ criteria for rendering medical scheme administration services, as set out in Medical Schemes Act, 131 of 1998 (the Act).

The decision, taken by the CMS during a meeting held on 31 May 2017, was preceded by a Council Executive Committee decision not to renew STRATA Healthcare Management’s accreditation as a medical scheme administrator in December 2015, due to its failure to meet statutory requirements to render administration services to medical schemes.

STRATA previously rendered administration and managed care services to Medihelp medical scheme. All the scheme’s administration and managed care services are now vested in Medihelp, following sanctions imposed by the CMS on STRATA.