Hosmed: Medical Cover for Early Adulthood
11 Nov 2020 ADVERTORIAL
Life Stages: Medical Cover for Early Adulthood
The legal age of maturity in South Africa is 21. At this age, by law, a child becomes an adult. A child who reaches the age of maturity is deemed able to conclude valid contracts without parental assistance. (e.g. marriage contract, employment contracts). However, many 21-year olds in South Africa are still living with their parents, mostly as scholars, and are not yet ready to assume the full legal responsibility of adulthood.
As relates to medical aid, Hosmed Medical Aid Scheme has a few pointers to help parents with navigating this dynamic, if they have dependents over the age of 21 who are not yet ready to live independently.
•In the Hosmed Medical Aid Scheme environment, we do allow children over the age of 21 to remain on their parents cover as child dependents.
•This is only applicable if you as the parent, are able to prove that the child is registered with an institute of higher learning.
•If all proof is provided and verified, the child can remain on the parent’s plan, paying a child’s contribution up to the age of 26.
•If a parent has a child who has turned 21, but who is not still studying, at Hosmed Medical Aid Scheme, we don’t force the parents to remove the child from their cover.
•Our scheme rules allow that once a child turns 21, that child becomes what is called an ‘adult dependent’ on their parent’s cover, and would simply pay an adult contribution.
In this way, those early adulthood years don’t need to be without medical cover. For those young adults who enter the working pool early, and who can afford medical aid cover, the question often on their lips is, ‘just to have cover, what do I need in terms of medical aid?’
Mr Malema Pitsoane, Acting Principal Officer at Hosmed Medical Aid Scheme outlined the considerations of the youth for every medical aid, explaining that the older the demographic of medical aid members, the more claims are processed, and if new vibrant members are joining the scheme, this allows the scheme to dilute the risk pool. All members of a medical aid scheme pay their monthly contributions into one pool. As an insurer, the agreement between a member and the scheme is that because one belongs to this pool, one day when a member needs to claim for medical support, the claim will be paid from this communal pool. And the bigger the pool, the better!
“The beauty about encouraging young people to join a medical aid is that they assist in the dilution of the risk pool,” said Mr Pitsoane. “Therefore, in answering the question about what kind of cover they need, young people need to look at their lifestyle, with the support of a broker to determine their needs. If there are no major medical needs, let them choose a low-end plan that has hospital cover, which is critical at that age. If you look across our options, we provide unlimited hospital cover, at 100% tariff. So all our members are really catered for across the five options we have at Hosmed.”
Some young people, however, quickly become the breadwinners in their homes, and have to provide medical support to their older relatives. “If this is the case, that young person needs to include the medical needs of their older relative in their medical needs analysis with their broker,” Pitsoane added. “If you want to bring on your aunt onto your medical plan, the broker should ask you what your medical needs are without auntie on your plan; then review what auntie’s medical needs are, and provide a recommendation that would support you both,” he added.
At Hosmed Medical Aid Scheme, we support every life stage, because we Care for Life!
For more information on migrating to Hosmed Medical Aid Scheme, visit: www.hosmed.co.za