5 minute read
A truly customised medical aid defined by detail
JEREMY YATT Principal Officer, Fedhealth
Two years ago, Fedhealth launched the revolutionary flexiFED range, together with the MediVault system. While this remains a first and only for the South African medical aid market, we’ve now refined the details and polished the mechanics.
With meticulous attention to detail, we are proud to announce that in 2021 the Fedhealth product is refined like never before… and DEFINED BY DETAIL.
1. The evolution of MediVault
The MediVault was created as a much-needed alternative to a stagnant savings model that hasn’t changed in decades.
The old-school savings model is essentially a compulsory loan, which forces members to pay for day-to-day benefits, whether they use them or not. With MediVault, the amount of money a member spends and repays for day-to-day benefits is voluntary and at their discretion. They only pay for what they use.
What’s different in 2021?
We’ve realised, however, that people differ. While some prefer the savings and control of the flexible MediVault repayment system and will happily deal with the minimally increased admin to reap these benefits, others prefer simplicity and familiarity.
The most significant change to our MediVault system in 2021 is an introduction of our new, but familiar, ‘FIXED’ repayment system. This system will provide members with the option to use their MediVault exactly like they’re used to, with a traditional medical savings account (MSA).
The simplest way to describe the difference between these two options is that FLEXIBLE members manage their own product to maintain control over their expenses, while FIXED members prefer the Scheme to manage their medical aid in return for simplicity and convenience.
2. Create-your-Aid: The perfect balance of control, affordability and flexibility
True customisation is more important than ever. 2020 has affected every household differently and, while spending ability is down for most South African households, medical aid has moved up the list of priorities for most.
Where the Fedhealth product in 2021 truly differs, is that life stages serve only as the foundation of each flexiFED product, on which every single member can then customise their medical aid product down to the last detail.
Our newly developed Createyour-Aid process allows you to determine your clients’ ideal option.
The Create-your-Aid process is completed over four steps:
Step 1: Choose your level of risk cover
Step 2: Choose your risk cover discounts
Step 3: Choose your day-to-day repayment structure
Step 4: Choose your level of day-to-day benefits
STEP 1: Choose your risk cover
This process starts by selecting the most appropriate flexiFED option based on your client’s life stage.
• flexiFED 1, which is perfect for young and healthy single people and couples
• flexiFED 2, best suited to starter families
• flexiFED 3, for young and still growing families
• flexiFED 4, perfect for mature families looking for complete, all-round cover.
The great thing to always keep in mind about Fedhealth is that we allow members to upgrade their option at any time of the year in case of a lifechanging event such as a pregnancy or dread disease diagnosis. So your client can choose the option they need right now… and upgrade later if they need to.
Also remember that all flexiFED options include unique benefits (such as unlimited network GP visits and female contraceptives) as part of the risk cover. Regardless of which flexiFED option they choose, your clients will have access to all of these, which means their day-to-day benefits will last longer.
STEP 2: Choose your risk contribution discounts
The second step is to choose the flexiFED variant and subsequent discount it has to offer.
FlexiFED options have three variants:
• ‘Any-Hospital’ flexiFED options offer full cover at any private hospital, except flexiFED 1, which is by default a network hospital option
• GRID variants offer full private hospital cover at network hospitals and reduce a member’s contribution by 11%
• Elect is an excess option that offers full cover at any private hospital with a R12 500 co-payment for elective surgery, in exchange for a 25% discount on the member’s monthly contribution.
STEP 3: Choose your repayment structure
Some people are happy to do a little extra admin if it saves them money. For others, convenience, predictability and simplicity reign supreme.
If a member selects the FLEXIBLE repayment option, they simply transfer funds from their MediVault to their Wallet as and when they need to pay for day-to-day medical expenses. These funds are then repaid over 12 months.
The FIXED repayment option is medical aid as you and your clients currently know it. A member is allocated an amount upfront at the beginning of the year, or pro-rated if they join after January, and that MediVault allocation is automatically transferred to their Wallets to use during the year. They then pay the same, fixed contribution that includes both their risk and MediVault portions every month – exactly like every other medical scheme with an MSA.
STEP 4: Choose your level of day-to-day benefits
With Fedhealth, affordability is in the hands of our members. We provide ample access to day-to-day benefits, and your clients then decide how much or how little of it they want to use.
• The FLEXIBLE repayment structure offers the most flexibility, and the member chooses exactly how much of their MediVault allowance they want to use throughout the year. To calculate the total monthly Fedhealth contribution, they simply divide the amount they intend to use by 12, and then add the risk cover amount.
• The FIXED repayment structure is much simpler, and the member does not have to calculate anything. This works like any other medical aid with an MSA.
Customisation is the way of the future. In a world where so many factors are beyond our control, Fedhealth is proud to offer a product utterly unique to the South African market. Whatever matters most to an individual – be it control, simplicity or affordability, as it is for most – the flexiFED range delivers and exceeds these individual demands.
Switch your clients to Fedhealth. Call 0860 002 153 or visit fedhealth. co.za to find out more.
