Three medical aid societies face closure

These three are Galaxy, Shelter and Zimpapers medical aid societies. Galaxy medical aid society said that it had since re-worked its plan and presented a revised plan for Government’s consideration. These three bring the total number of societies who might not get licensing to operate to five.

The other two are Access and Greencard medical aid societies who Government said never contacted them since the warnings for deregistration were issued.
But Greencard Medical Aid Society chief executive Mr Simon Tapfumanei said they had no obligation to contact the regulator as they were being represented by the Association of Health Care Funders of Zimbabwe in the negotiations.

Government gave the societies up to February 28 to have cleared all their arrears, but by this date 11 of the 26 registered societies failed to comply.
The remaining six are PSMAS, Zenith, Generation Health, Bulawayo Municipality, Railmed and Harare Municipality medical aid societies.

These six have since made arrangements with Government on clearing their arrears. According to PSMAS, some employer organisations have not been able to timeously remit their subscriptions to the society resulting in the society accumulating arrears with service providers.

The society is, however, optimistic that it will overcome these challenges and remains committed to ensuring that its members receive uninterrupted healthcare services,” said PSMAS.
Since 2006, there has been an impasse between medical aid societies and service providers with regards to costs of medical services rendered.

This has also led to some societies directing patients to service providers they entered into agreements with some doctors refusing to treat members belonging to certain medical aid societies.
The doctors accused the societies of not reimbursing claims within the 60 days stipulated in the regulations governing the medical aid industry.

In its efforts to regularise operations in the industry Government formed the Joint Advisory Council to look into issues related to tariffs as well as paying service providers within 60 days.
According to JAC, societies which fail to pay service providers their dues within the 60 days risk having their licences revoked.