KEEP UP TO DATE WITH ALL THE IMPORTANT COVID-19 INFORMATIONCOVID-19 RESOURCE PORTAL

FANews
FANews
RELATED CATEGORIES
Category Healthcare
SUB CATEGORIES General  |  HIV |  Medical Schemes | 

Momentum Health’s annual increase for 2020 below industry average

20 September 2019 Momentum Health
Damian McHugh, Executive Head of Sales and Marketing at Momentum Health Solutions

Damian McHugh, Executive Head of Sales and Marketing at Momentum Health Solutions

Momentum Health medical scheme has announced a weighted average annual contribution increase of 8.2% for 2020.

Sustained growth, with a favourable profile, in a stagnant market coupled with stable financials, allowed Momentum Health medical scheme to announce one of the lowest contribution increases for 2020 in the industry. Over the last few years, the average age of beneficiaries covered on medical schemes in South Africa has increased, resulting in increased claims costs, which in turn impacts on the contributions charged, and annual contribution increases required to manage these components. Part of the reason why Momentum Health medical scheme has been able to manage this risk so well in these tough economic times is through the flexibility of their product offering, catering to consumers’ needs and affordability. In addition to announcing one of the lowest contribution increases so far this year, Momentum Health medical scheme has once again retained stability in their product offering, with no reduction in benefits; in fact in most cases the Scheme has increased benefit limits. The maternity benefit was also enhanced to provide for nurse based support at home for new moms following the birth of their baby. 

Momentum Health medical scheme has also launched a new option, catering to the unique needs of the up and coming millennial market. 

“Although the industry increases this year may appear steep during a tough economic climate that continues to put a strain on consumers’ pockets, various factors need to be considered, such as rising medical inflation rates, ageing scheme profiles and regulatory requirements. Momentum Health medical scheme continues to have one of the lowest average contributions in the market, with one of the most stable benefit designs over the past 10 or more years,” says Damian McHugh, Executive Head of Sales and Marketing at Momentum Health Solutions. 

When you look at the underlying metrics of medical schemes – whether it is demographics or claims trends – there is a growing number of South African schemes for which these metrics are not looking good. While these may be quite subtle differences now, these trends are likely to deteriorate over time. 

“This is a common phenomenon and may force schemes to think of reducing benefits. At Momentum Health medical scheme, we do not compromise the ability for our clients to access the healthcare that they need. We provide them with flexible options that allow them to build the medical cover that suits their lifestyle requirements”, concluded McHugh. 

The best approach to medical cover begins with understanding what your needs are, and then designing the best possible solution around these needs. “It is critical that consumers understand the intricacies of their medical scheme and exactly what they are paying for, as often the distinction between benefits and contributions is unclear. Our product update provides even more flexible options than before, allowing consumers to build medical cover that suits their lifestyle requirements”, says McHugh. 

Health is an asset for every individual and as such, Momentum Health medical scheme has ensured that both benefits and price meet their members’ expectations by providing them with the ability to access the healthcare that they need. 

McHugh concludes, “Holding “the provision of more health to more South Africans, for less” as our purpose, Momentum Health Solutions will be focused on innovation and problem solving for years to come. In so doing, striving to meet the holistic healthcare and financial needs of companies and individuals across the spectrum, uniquely positioning us to provide a safe, affordable and seamless life-journey to our clients.”

Quick Polls

QUESTION

Brokers are frequently credited with ‘going to war’ for their clients at claims stage. Brokers will push the insurer to get an equitable and fair outcome. Is this still the case today, or do you find that insurers are pushing back too?

ANSWER

Yes
No
fanews magazine
FAnews June 2020 Get the latest issue of FAnews

This month's headlines

The crisis is not over
Ethics of lockdown - What value is attached to a human life?
Pandemic redefines the commercial and legal risk landscape
New partnerships needed to create an epidemic and pandemic risk programme
Credible statistics create much needed certainty
SA fixed income: Searching for value in a sea of pandemic risk
Subscribe now