“Contribution increases higher than CPI plus a reasonably assumed utilisation factor will be evaluated and approved on the strength of the motivation submitted,” the CMS has explained in a covering note to its most recent circular, Circular 27 of 2023: Guidance on contribution increases and benefits changes for 2024*.
“Only contribution increases that have been approved by the Registrar may be implemented by medical schemes.
“Moreover,” the council adds, “it is advised against communicating any benefit changes or contribution increases before obtaining the necessary approval from the regulator.”
*Circular 27 can be downloaded at https://www.medicalschemes.co.za/download/3684/2023-circulars-current/27449/circular-27-guidance-on-contribution-and-benefits-changes-for-2024-benefit-year-final_edited
SOURCE: CMS Communications