The medical scheme regulator’s move last week to scrap health insurance products is at odds with the constitution and will have potentially “catastrophic consequences” for consumers, warns insurer Day 1 Health CEO Richard Blackman.

The Council for Medical Schemes (CMS) issued a directive on December 4 that sent shock waves through the private health-care industry, announcing that no more exemptions to the Medical Schemes Act will be granted for entities that offer less cover than the law requires after March 2021. The circular ( by CMS registrar Sipho Kabane on December 4 means primary health and hospital insurance products, as well as bargaining council medical schemes that offer pared-down benefits, will have to be wound down by this deadline...

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