Business / Companies
Medical society accused of swindling clients
07 Jun 2015 at 16:41hrs | Views
A local insurance firm, First Mutual Health is allegedly short-changing clients by unilaterally increasing monthly subscriptions while cutting benefits under its medical aid scheme.
A client of First Mutual Health, Ms Charity Hodzi Sibanda says she was shocked upon a visit to a medical institute when she was denied services and told her medical aid cover could only cater for four emergency visits.
On enquiry to her medical insurer, she was told that she was expected to pay a higher premium translating to a 30 percent increase in subscriptions while her benefits would remain the same.
Ms Sibanda said her insurer maintained that she could not upgrade her medical aid cover but could only go to a lower scale.
Last month, Ms Sibanda and five other members then engaged the Ministry of Health and Child Care which is in the process of looking into their letter of complaint on the alleged discriminatory conduct by the health insurer.
She produced documents showing the communication between her, the ministry and the insurer.
In one of the letters by the ministry to First Mutual Health, the health insurer is asked to respond to allegations of changing benefits of members without giving notice, operating without a constitution, and giving four months waiting period instead of three, all of which is against the medical aid societies regulations.
Responding to the issue, Ms Farai Mangwende, the Corporate Communications Head of First Mutual Health confirmed that the matter is being handled by the Ministry of Health and Child Care and the company's legal department.
She declined to comment on the allegations saying she would only shed more light once the matter is settled.
A client of First Mutual Health, Ms Charity Hodzi Sibanda says she was shocked upon a visit to a medical institute when she was denied services and told her medical aid cover could only cater for four emergency visits.
On enquiry to her medical insurer, she was told that she was expected to pay a higher premium translating to a 30 percent increase in subscriptions while her benefits would remain the same.
Ms Sibanda said her insurer maintained that she could not upgrade her medical aid cover but could only go to a lower scale.
Last month, Ms Sibanda and five other members then engaged the Ministry of Health and Child Care which is in the process of looking into their letter of complaint on the alleged discriminatory conduct by the health insurer.
She produced documents showing the communication between her, the ministry and the insurer.
In one of the letters by the ministry to First Mutual Health, the health insurer is asked to respond to allegations of changing benefits of members without giving notice, operating without a constitution, and giving four months waiting period instead of three, all of which is against the medical aid societies regulations.
Responding to the issue, Ms Farai Mangwende, the Corporate Communications Head of First Mutual Health confirmed that the matter is being handled by the Ministry of Health and Child Care and the company's legal department.
She declined to comment on the allegations saying she would only shed more light once the matter is settled.
Source - zbc