Hot news

Fedhealth poised for growth

Addressing members yesterday at the 75th AGM of Fedhealth, the fourth largest scheme in the South Africa, Fedhealth Chairman Johann van Vuuren said 2010 had been one of the scheme’s most successful years yet.

Fedhealth recorded a net surplus of R157 million for 2010, increasing from
R37 million in 2009. As a percentage of contributions, surplus increased from 1,8% to 6,8%, predominantly as the result of a significant improvement in claims experience. The scheme’s credit rating was re-affirmed at AA- by Global Credit Rating, which demonstrates a healthy claims paying ability.
Van Vuuren noted a keen focus on forward planning and protection measures have all brought about positive outcomes resulting in an increase in the scheme’s solvency ratio to 30,7%, well above the mandatory 25%.

On membership growth, Fedhealth has successfully replaced the PERSAL members moving to GEMS with individual private business. PERSAL members now only account for 20% of the membership base, compared to over 50% in 2006. “We have made a conscious decision to ensure growth with the correct member profile by enforcing strict underwriting criteria to ensure future sustainability. This has resulted in a slower new member intake but we are currently repositioning the scheme as a serious contender in the corporate market,” says van Vuuren.

Commenting on future sustainability, van Vuuren says the scheme would be looking to improve health outcomes for every Rand. Initiatives like the GP and Pharmacy networks recently introduced, will build a foundation for this.
“Relationships between members and healthcare professionals will remain key in 2011 to help consistently drive efficiencies and improve health outcomes,” concludes van Vuuren.

Prepared on behalf of Fedhealth by Cathy Findley Public Relations

Cathy Jackson – cathy@findleypr.co.za







Related posts
Hot news

CIB enhances its Commercial product offering

Hot newsLong-termShort-term

Joint Ombudsman for the Office of the Ombudsman for Long-Term Insurance and the Office of the Ombudsman for Short-Term Insurance

Hot news

Become a leader in insurance distribution innovation

Hot newsReinsuranceShort-term

Urgent call to action