Workable healthcare management solutions for blue collar market now critical
Ruth Maseko, Acting Principal Officer of the Building and Construction Industry Medical Aid Fund (BCIMA) says South Africa has never been in greater need of proactive and workable healthcare management solutions for the blue collar market than it is right now.
“While Government is moving steadfastly to a social health insurance system that will cater to the needs of the many medically uncovered lives to resolve this dilemma, the dire funding shortage means that the ball remains squarely in the court of the private healthcare and business sectors.
“Despite the private medical funding industry’s many attempts to design and offer products for the blue collar market, the sector continues to struggle to get more employed individuals covered by at least some basic form of healthcare insurance. Just how the industry can successfully provide cover to more South Africans is a question that has troubled some of the best economic minds in our country for several years.
“The solution surely lies in greater collaboration between the private healthcare funding sector and employers in bringing more practical, affordable solutions within easy reach of uncovered, employed individuals,” she asserts.
Maseko points out that the building, construction and engineering industries have been in the doldrums for several years, with some large construction companies going into business rescue and liquidation while smaller contractors were battling to make ends meet due to lack of work. It would, however seem that an encouraging uptick is on the cards for the industry.
This was confirmed by the recently released Afrimat Construction Index for the first quarter of 2023, which, when compared to the same period in 2022 indicates a heartening increase of almost 12% in construction sector employment and more than 4% in value added by the sector.
“While businesses continued to wait for the long-promised upswing in infrastructure development, which would lead to economic recovery and job creation, employed but uninsured individuals unfortunately remained in limbo in what was arguably one of the most difficult times in the recent history of mankind.
“Against this background, BCIMA has continued to fulfil its mandate to deliver affordable and accessible healthcare cover to the men and women of the building, construction and engineering sectors, putting our members at the heart of everything we do to make a tangible difference in their lives.
“At BCIMA we stand for the more basic yet fundamental business tools such as a healthy, safe and productive workforce, which is key to success for all South African businesses and the labour force as a whole. While we fully appreciate that costs have long been a hot button when it comes to healthcare, we also know that the health and wellbeing of the workforce representing these sectors are non-negotiable.
“We therefore place considerable emphasis on making healthcare more accessible for the men and women of the industries that we serve by delivering more flexible, affordable and practical healthcare options and benefits,” she points out.
- The financially robust BCIMA, which has among the highest solvency ratios of 98% in the industry, is rated as one of the Top 5 Medical Schemes by the Council for Medical Schemes.
- Contribution increases, among the lowest in the industry, have remained consistently low, always below inflation.
- There are no network restrictions on BCIMA and contractors are covered for their contract period.
- Members are provided with a BCIMA membership number for life.
- The average BCIMA member is 28 years old, while the pensioner ratio is currently only 1.99%. The average pensioner ratio for open schemes is 9.55% and 6.46% for restricted schemes.
- The Fund offers a single contribution rate for a whole family. Principal members can register all their children, as well as their spouse or life partner on the Fund, without paying more.
- Despite the dire state of the South African economy and the hardships faced by so many clients, membership has remained relatively stable.
- The value that BCIMA provides is widely acknowledged in the industry with the Fund enjoying considerable support from various associations, such as the Bargaining Council for the Civil Engineering Industry, the Master Builders Association of South Africa, the Master Builders Association North and the South African Forum of Civil Engineering Contractors.
- It is the preferred medical scheme for a number of unions, including the Building, Construction and Allied Workers Union, the National Union of Mine Workers, and the Amalgamated Union of Building Trade Workers.
“At present the greatest differentiating factor within the healthcare funding industry is the ability to proactively drive and manage change to ensure future sustainability. Essentially it is the total transformation of ‘what we do and how we do it’ that will ensure the longevity of this industry.
“As one of the most stable, longest-standing medical schemes in the country, we are hopeful that we will be able to further increase our membership levels in the coming months. BCIMA remains one of few medical schemes that truly understand the needs of the blue collar market and can safeguard the health, wellbeing and dignity of its membership base at the lowest possible price point.
“Healthcare is a national asset that is pivotal to the economic sustainability of our country. As one of the oldest medical schemes in South Africa, BCIMA is proud of the role it has played in broadening access to healthcare for South Africans and we hope that our experience imparts helpful learnings to the broader healthcare sector ahead of the implementation of NHI,” concludes Maseko.
