Abstract

Health care in South Africa is undergoing substantial changes with rising pressure on both the public and private sectors. Medical inflation has been soaring rendering healthcare increasingly unaffordable and medical schemes have had to adapt their traditional business models. This paper looks at the current structure of the healthcare market; it examines the new legislation introduced by government, and assesses future directions of healthcare in South Africa.

Highlights

  • Creating good healthcare services to serve an entire nation takes time and resources

  • The South African government is faced with four challenging problems in the healthcare market: 1. The public sector does not have the resources to provide adequate healthcare to the large population not covered by private medical cover

  • Predicting the exact direction that the health plans will move in South Africa is not easy because so many factors are at play, but we do know that the private healthcare market will be moving towards reducing costs

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Summary

Changes in the provision of health care in South Africa

Health care in South Africa is undergoing substantial changes with rising pressure on both the public and private sectors. This paper looks at the current structure of the healthcare market; it examines the new legislation introduced by government, and assesses future directions of healthcare in South Africa

Introduction
Overview of the South African healthcare sector
The public sector
The private sector
The South African medical aid industry
Medical Inflation
The structure of the medical aid industry
Goals of successful managed healthcare
Limiting access to healthcare resources
Social health insurance
Medical aid legislation
Risk equalization
Pharmacy legislation
Generic substitution
Medicine price control legislation
Future directions of health plans in South Africa
Less hassle and more choice
Findings
Evaluation and conclusion
Full Text
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