Medical schemes told to keep 2024 contribution increases to 5% or less

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Medical schemes told to keep 2024 contribution increases to 5% or less
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The CMS's executive in charge of regulation Mfana Maswanganyi says this recommendation aligns with the Sarb's CPI projections. Moneyweb MedicalAid Inflation

Medical schemes have been told by industry regulator the Council for Medical Schemes to keep contribution increases for 2024 at 5% or less. CMS executive in charge of regulation Mfana Maswanganyi said on Wednesday this recommendation aligns with the consumer price index projections by the SA Reserve Bank monetary policy committee for 2024.

“On the demand side, there is also fraud, waste and abuse, and the fee for services contributes immensely to these escalations in costs,” he said. Kabane added that the CMS is also well aware that part of what drives costs in the medical industry is often health technology, whether it is equipment that is used for diagnosing or treating members or extends to new medication that is often introduced. “Part of [this] can be expensive and above what the inflation rate could be,” he said.

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