Green light from Regulator for Consumer Goods Medical Scheme savings plans

CMS authorisation crucial endorsement for transformative chapter

The Consumer Goods Medical Scheme (CGMS) has received a decisive green light from the Council for Medical Schemes (CMS) to market its two new savings options, CoreSave and UltraSave.

This approval, granted just weeks after the scheme’s initial launch announcement on 16 September, paves the way for the highly competitive plans to begin onboarding employees of the consumer goods sector as of 1 November 2025.

Andre Koekemoer, Principal Officer of CGMS, described the CMS authorisation as a pivotal moment: “This green light affirms our commitment to delivering healthcare solutions that are affordable, flexible, and designed for the consumer goods sector. It allows us to bring CoreSave and UltraSave to market with confidence, expanding on our offering to give members greater control over their healthcare expenses.”

CoreSave and UltraSave were designed with the explicit goal of balancing cost, flexibility, and comprehensive coverage for members of the consumer goods workforce. CoreSave, with a starting monthly contribution of R3 899, offers unlimited private hospital cover, wellness benefits, and a personal medical savings account to help manage everyday health expenses. UltraSave, starting at R8 830 per month, builds on this foundation by offering higher savings limits, expanded coverage for both chronic and non-chronic conditions, as well as additional wellness benefits.

According to Koekemoer, the CMS’s endorsement signals confidence in CGMS’s focused and conscious approach to healthcare in South Africa’s consumer goods sector. “At a time when medical scheme affordability remains a significant barrier for many workers, the CMS’s support highlights the importance of sector-specific solutions that deliver value without compromising essential protections.”

“The competitiveness of CoreSave and UltraSave is noteworthy. Even when compared to the 2025 rates of other similar products on the market, UltraSave and CoreSave remain leading value-for-money options. They also outperform deferred rate increases on similar products, making them an unbeatable choice for clients seeking maximum value and flexibility,” he adds.

“The approval of CoreSave and UltraSave follows CGMS’s broader transformation from an employer-specific scheme to an inclusive, industry-wide medical scheme – a move that has opened healthcare access to a much wider pool of workers. The scheme’s leadership views this as a validation of our vision to create medical cover that reflects the real-world challenges faced by consumer goods employees, from affordability concerns to heightened exposure to lifestyle and occupational health risks,” Koekemoer explains.

With the go-ahead from CMS, CGMS is poised to offer a compelling alternative in a market where rising medical aid costs have increasingly made quality private healthcare unaffordable for many. The scheme’s ability to maintain contributions at a moderate level—with an average 9.6% increase for 2026—while enhancing benefits, responds to the financial pressures facing workers and employers alike.

All industries face a particular set of challenges - the consumer goods sector is no different and requires healthcare benefits that go beyond one-size-fits-all plans. CGMS’s focused approach and new offerings, now officially backed by the regulator, promise to address these needs through well-structured benefit options, proactive wellness programmes, and financial stability.

Financially, CGMS’s strong solvency ratio of 42% underpins its ability to innovate responsibly while maintaining long-term security for members as it continues evolving alongside the sector’s needs.

The approval further highlights the advantages of closed industry schemes, such as CGMS, which can maintain lower administrative costs and more targeted benefits than open medical schemes. This focus translates into better value for members and a healthcare experience that is closely aligned with their daily realities.

With CoreSave and UltraSave now cleared for marketing, CGMS prepares to offer four distinct benefit options for 2026, ranging from entry-level plans to comprehensive coverage. This range ensures that all consumer goods sector employees can access healthcare that fits their roles and budgets.

As South Africa’s healthcare system continues to face challenges related to affordability and access, CGMS’s savings options stand out as a beacon of hope for more equitable and sustainable medical coverage. The authorisation is not just a regulatory milestone—it marks the beginning of a new era in healthcare for one of the country’s key economic sectors.

Starting November 1, members of the consumer goods industry will finally have access to a medical scheme that combines financial feasibility with meaningful protection. “CoreSave and UltraSave offer a practical, affordable path forward. This is a powerful shift toward healthcare that’s truly built around the people it serves, giving our members control, choice, and peace of mind in an increasingly complex healthcare environment,” concludes Koekemoer.