National Health Insurance to change Medical Aid

By Staff Writer

There is a constitutional obligation to provide access to health care for all. Currently in South Africa while there is a public health service, many people opt for privatised healthcare believing that they will get a better quality of care. This can be a very expensive thing. So we have developed a system of medical aids in South Africa to provide health insurance for private health care. There is now talk of a National Health Insurance (NHI) being set up. What will this change for your medical aid?

 

  • Medical aids may offer less
  • There will be more tax
  • There will be cross over health care

 

The system that the government appears to be modelling on is the United Kingdom's NHS or National Health Service, which is currently under pressure. The fact is that the UK government charges a small part of tax called National Insurance or NI that provides comprehensive free health care. This kind of health care is what is called for by our constitution and is a method of keeping our population healthy and productive, however with the existence already of medical aid a new tax could lead to people paying twice for their health care.

While many will be unhappy about another tax, if we wish to be able to supply the labour market with healthy and able workers then we will need to provide more access to health care which at the moment is only really available at decent service levels to those who are able to afford medical aid. With an introduction of NHI there may be less call for private medical aids, with these providing only top-up services that are not covered by the national fund. If this national fund is managed correctly we could pay much less for our health insurance and get the same level of care as currently.

Recent Articles

Featured What are the benefits of living in a “Zoom Town”?

With many careers moving online, work-from-home employees have realised they can live in smaller suburbs or towns at a lower cost and enjoy the benefits of a slower lifestyle, while keeping their jobs.

You can’t cash cheques anymore in South Africa – we find out why

In November 2020, the South African Reserve Bank (SARB) announced that cheques would be discontinued from 1 January 2021. But what guided this decision? We have a look at what the pitfalls have been of using cheques, and the consequences of removing them from the payment system.

The perks of investing in student accommodation

With the constant influx of new students entering tertiary institutions, there’s usually a steady demand for student accommodation. As an investor who’s interested in the property market, should you consider student accommodation?

Are you financially secure enough to buy your first home?

When you buy your first home, you need to make sure you’re in a secure financial position so that you can stay afloat in spite of your increased financial responsibility. But are you aware of all the costs you’ll have to carry?

Deals

Rouge Day Spa Tuesday Special

Price: Available on request
When: Tuesdays
Where: Cape Town

Monte Vista Two Nights Special

Price: Available on request
When: Until 31 December 2021
Where: Montagu

Century City Hotel 4 Nights Special

Price: From R1100
When: Until 31 January 2021
Where: Cape Town


Latest Guide

Guide to debt rehabilitation solutions