The-benefits-of-medical-gap-cover The benefits of medical gap cover

Why should you as an employer consider adding medical gap cover to your employee’s basket of benefits?

Investing in group gap cover for your entire staff contingent can indeed be a smart decision for several reasons. Group gap cover provides additional protection for employees and their dependants by filling in the gaps left by their medical scheme coverage.

Here are some benefits of investing in group gap cover for your employees.

1. Extra protection: Group gap cover provides an extra layer of financial protection by covering medical expenses that exceed the limits of the employees' medical scheme. This ensures that employees and their dependants can access necessary medical treatment without worrying about excessive out-of-pocket expenses.
2. Peace of mind: Knowing that they have gap cover in place can give employees greater peace of mind, as they are less likely to be burdened by unexpected medical costs or high co-payments for certain procedures.
3. Minimised financial stress: Group gap cover can help minimise financial stress for employees by covering up-front co-payments for specific procedures and hospital admissions required by their medical scheme. This can prevent employees from facing financial difficulties due to unexpected medical expenses.
4. Cost-effective: By providing group gap cover for your entire staff contingent, you can potentially negotiate better rates with insurers and offer cost-effective coverage to your employees. This can be a valuable employee benefit that enhances their overall compensation package.
5. Comprehensive coverage: Group gap cover can help employees access a broader range of medical treatments and procedures by bridging the gap between what their medical scheme covers and the actual costs incurred. This ensures that employees can receive the care they need without concerns about financial constraints.

Frequently, individuals with medical schemes face the challenge of being unable to sustain the high expenses of medical aid contributions. As a result, they choose to switch to lower-tier plan options that may not offer sufficient coverage. While downgrading can compromise their protection level, opting for medical gap cover presents a cost-effective solution to augment their existing medical scheme coverage. The affordability of medical gap cover premiums, in contrast to comprehensive medical aid plans, makes it a practical way to bolster healthcare protection and ensure comprehensive coverage.

An example of a specialist shortfall for a hospital procedure

• Your specialist charges for the treatment at five times the medical scheme rate: R14 000
• Your medical scheme only pays two times the medical scheme rate: R5 600
• You will be responsible for the shortfall of: R8 400
• Gap cover will pay for the shortfall up to five or six times the medical scheme rate, therefore covering the entire shortfall of R8 400.

Closing remark

Overall, investing in group gap cover can be a valuable investment in your employees' wellbeing and financial security. It can help attract and retain top talent, boost employee morale, and demonstrate your commitment to supporting your staff's health and welfare.

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