With the high cost of medical aid membership fees in South Africa, you have probably asked yourself whether having medical aid is worth it, or whether opting for a hospital plan would suit you better. This is a question on the minds of many young, healthy people who are already under financial strain with car repayments and other expenses.

So what are the main differences between a medical aid scheme and a hospital plan?

Medical Aid

A medical aid scheme is a type of health care plan that enables you to get treatment from private medical practitioners. Although it is more expensive, unlike a hospital plan, medical treatment under a medical aid scheme is not limited to just in-hospital care. Medical aid schemes have many additional benefits such as health screening programmes, maternity programmes and sometimes even a rewards programme. A Medical Aid scheme usually offers more comprehensive health benefits. To find out more about these benefits you can check out ‘The Difference Between Medical Aid and a Hospital Plan’ on the Hippo.co.za website.

Hospital Plan

Hospital plans are a more affordable option than medical aid cover, as you pay much lower monthly premiums. A hospital plan may be more suitable for healthy, young professionals who only need cover for emergency medical procedures since it has lower premiums. Hospital plans offer various types of cover to suit your budget and are also referred to as entry-level medical aid plans, due to the fact that they are a more affordable option to choose.

Make a decision based on your medical needs

Before deciding on whether to go with a medical aid or a hospital plan, you should consider your personal medical needs. If you are healthy and know you’re unlikely to make many trips to the doctor, then a hospital plan may be all you need. However, while medical aid is more expensive it leaves you with peace of mind knowing that all your medical claims including hospitalization are sorted.

Disclaimer: This article is provided for informational purposes only and should not be construed as advice. Consult a financial advisor before making any decisions.