It’s also disturbing to determine the number of individuals who are able to afford health cover like Liberty medical aid not get their health covered. This can be a major concern because of the consistent increase in medical claims during the last couple of decades.
What’s also troubling is always that many medical schemes have collapsed during the last couple of decades. Now, I’m not speaking concerning the big schemes, like Liberty medical aid. I’m talking about smaller sized medical schemes.
The typical medical aid client decides to participate a smaller sized medical plan to avoid wasting costs. In my opinion this can be a big mistake. What these clients don’t realize is the fact that smaller sized medical schemes are stricter with regards to actual claims. They need to be. Their earnings (like premiums) is generally not sufficient to aid the claims which come in. That’s the reason why they’ll try everything within their power to have their claim count to a minimum and also to boost their premium earnings whenever possible to enable them to obtain a secure financial footing in the market.
However, whenever you cope with bigger medical schemes such as the Liberty medical aid you don’t have to bother with this. These industry giants can certainly absorb the financial impact that claims dress in their finances. Usually, medical aids must have a solvency ratio of 25 %. This figure shows if the medical plan under consideration can pay claims or otherwise. When the solvency ratio drops to below 20 % you should avoid such schemes.
Bigger medical aids also have no hidden conditions and terms. When you’re handling a medical plan leader in the industry, transparency is prevalent. Organisations like Liberty medical aid realize that this niche is extremely competitive and sensitive. If people don’t believe in advisors or perhaps your method of conducting business, you’ll have to close your doorways. These industry leaders understand the significance of transparency. Therefore, ‘underwriting’ happens as the consultant sits along with you. He asks lots of questions in order to provide you with a fair and accurate quotation in line with the details given. Within this meeting you will be aware just how much commission and administration costs you have to pay per premium.
I understand many people wish to save that extra $10 or $$ 20 with regards to medical schemes. I’ve discovered that it’s not worthwhile considering the danger you are taking to save a couple of bucks. Stick to the leaders like Liberty medical aid and you’ll be safe.