Discovery Health Medical Scheme has confirmed its finalised contribution increases for 2022.

These contribution increases were initially planned to begin from May of this year, but were deferred as the medical aid provider looked, “to maintain short-term affordability” for its members.

They will now be implemented from October to December of 2022, according to a report from Moneyweb. Said increases are relatively in line with the 7.9 percent mentioned by Discovery in October of last year, with slight differences deepening on which scheme a member may be on.

The highest increase is 7.98 percent, with no scheme breaching the 8 percent mark, along with the average being across all schemes being 7.94 percent.

“To make sure that contributions remain on par with future medical inflation while giving (members) financial relief through a delayed contribution increase,” the company added it a communication that was sent out to members late last week.

This deferral is nothing new for Discovery, with it doing so since the start of the COVID-19 pandemic for close to three years now. The company also noted that these latest increases are in keeping with forecasted medical inflation.

“The claims experience of DHMS provides guidance on the expected future cost of healthcare claims between Covid-19 waves and once Covid-19 becomes endemic,” explained Discovery Health CEO Dr Ryan Noach last October.

“The trends imply that medical inflation has persisted at a rate of 3% to 4% above consumer price inflation since 1 January 2020, and that DHMS will be well positioned with contributions at the level of anticipated claims before considering contribution increases for 2023,” he concluded.

While it has not detailed so at this stage, we could see Discovery choose to defer again come this time next year.

For now though, the increases to member contributions from 1st October 2022 follow in the table below.

[Image – Photo by Hush Naidoo Jade Photography on Unsplash]
[Source – Moneyweb]