Want to save on medical aid costs? Choose a smaller scheme
However, GTC has found that the larger schemes are attracting the bulk of new members mainly because of their reputations
Smaller medical schemes are offering consumers better value for money, but have not been as successful as some of the larger schemes in attracting new members, a study by wealth and financial advisory firm GTC has found. GTC (formerly known as Grant Thornton Capital) released its seventh annual medical aid survey on Wednesday. The study analysed the rates of 22 open medical schemes, as well as closed scheme Profmed, and a total of 144 plans that were categorised into 11 areas in accordance with the benefits offered. The survey made use of a micro rating system based on a plan’s competitiveness in relation to others in the same category, and included the company’s solvency. It also provided a standardised comparison and ranking of the choices available to consumers. These ratings were also based on the risk premiums, while the macro ratings focused on size, growth and financial stability of a company. Smaller schemes with fewer than 1-million members were ranked top of the crop.
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