Rising medical aid costs and the possible end to tax credits on medical aid contributions could be the breaking point for many South Africans, AfriForum has warned, urging the government to reconsider policies that make private healthcare unattainable for many people.
At the beginning of this year medical aid schemes hiked premiums by an average of 10.7% across 12 of the country’s biggest providers, a rise far above the expected inflation rate – estimated to remain below 4%.
Effectively, reports BusinessTech, medical aid costs have jumped by 6.7% in real terms, while salary and wage increases are barely keeping pace, averaging between 1.5% and 2%.
Profmed CEO Craig Comrie highlighted several key factors driving the increases, including the growing prevalence of lifestyle-related illnesses, expensive advancements in medical technology, and a declining pool of doctors and specialists.
He said rising healthcare inflation, at its current rate, could see costs doubling every seven years. ….more
