Personal Finance reports that the Council for Medical Schemes (CMS) has approved the merger of Hosmed Medical Scheme and Sizwe Medical Fund, to form what will be known as Sizwe Hosmed Medical Scheme.

It will be SA’s eighth-largest open medical scheme. The merger brings together Sizwe’s 46,900 members with Hosmed’s 21,000. Developments in recent years have placed pressure on smaller medical funds, which in turn have resulted in consolidations. These include a review of the Prescribed Minimum Benefits package, the government’s drive towards implementing National Health Insurance, and an expected increase in claims in the wake of the Covid-19 pandemic. “This merger is mutually beneficial to both schemes, where the combined balance sheet and increased membership size can unlock efficiencies and economies of scale to the benefit of all members. Sizwe Hosmed members will benefit through a reduction in non-healthcare expenses attributed to reduced operational scheme expenses,” Dr Simon Mangcwatywa, Sizwe Hosmed’s principal executive officer, commented.

• Read the full original of the report in the above regard by Martin Hesse at Independent Media

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