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Opting for no medical aid, state hospitals

Cape Town - Hospital tariffs are set through annual negotiations between medical schemes and hospitals.

These negotiated tariffs remain fixed throughout the year.

In South Africa medical schemes are relatively fragmented with just over 90 registered medical schemes serving private medical scheme members.

By contrast, the private hospital sector is highly concentrated with the three largest private hospital groups accounting for approximately 80% of all hospital spend.

“This is detrimental to medical scheme members, who have been saddled with contribution increases in excess of the Consumer Price Index (CPI) and reductions in benefits to keep the medical schemes sustainable," according to Dr Bobby Ramasia, principal executive officer of Bonitas Medical Fund, the second largest open medical scheme in South Africa.

"Fee increase negotiations with hospitals should focus on volume as well as the value it adds.”

In the light of the continuing debate about the high costs of private hospital care, Fin24 users shared their views on medical aid and the option of rather using state hospitals.

READ: Private hospital staff: We are money-making slaves 

Fin24 user Riette
writes that she does not have medical aid, "because you pay your butt off and then its not enough, because you have to pay doctors and hospitals".

"Why have medical aid? State hospitals also have good doctors," she said.

In her view the only driffrence would be not having "the luxury you lie in to get better in private hospitals and not to be treated well".

"How much does medical aid make if you have to pay more than half of the hospital costs? I think everyone should think again before getting medical aid," she said.

READ: Hospitals 'don't care much about patients'

Fin24 user Mluleki is of the opinion that private healthcare is only about business and profit matters more than human care.

"I worked at a government facility for eight years before going to private healthcare," he writes.
 
"The government hospitals have a very good model, but unfortunately our government does not put the neccesary funds to make this work. There is a chronic shortage of stock and understaffing is crippling the government institutions."

READ: Two sides to private hospital care

Another Fin24 user, who wants to remain anonymous, writes that at one popular private hospital he was recently kept longer by the doctors even though he had fully recovered from his illness.

"Rumour has it that one is kept longer simply to make more money and deplete the patient's medical insurance," he writes.

Read: Vicious cycle makes medical schemes expensive

Yet another Fin24 user wants to know why her medical aid cover (allocation) "becomes exhausted within six months and then we still have to pay the remaining six months without benefits?"

In his view the health of members is not considered.

"The minister promised to look into the issue of medical aid schemes," he said.

ALSO READ: Debate about private hospital costs hots up

- Fin24

Disclaimer: All articles and letters published on MyFin24 have been independently written by members of the Fin24 community. The views of users published on Fin24 are therefore their own and do not necessarily represent those of Fin24.

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