Committed to good corporate governance

Corporate governance consists of rules that direct the roles and actions of key people. Unlike simple policies and procedures, such as a dress code, corporate governance rules focus on creating better management and fewer ethical or legal problems. Examples of corporate governance include setting rules regarding: using business funds for personal use, serving on a board of directors, hiring family members, conflicts of interest and notifying stakeholders of key meetings and decisions.

At GEMS, our mission is to provide all public service employees with fair access to affordable and comprehensive healthcare benefits. In so doing, we are committed to maintaining good corporate governance and therefore committed to the principles and practice of fairness, openness, integrity and accountability in all dealings with our stakeholders (who consist of members, healthcare providers, etc.).

A Board of Trustees is in place to oversee the affairs of the Scheme, providing effective oversight through which performance can be monitored and to ensure that the business of the Scheme is operated efficiently and effectively. In addition, the Scheme has an executive team, led by a principal officer, as well as six committees of the Board that oversee the work done in various areas. The committees perform their duties with your interests in mind and ensure the decision-making processes and structures are effectively governed and comply with all applicable regulatory requirements.

• Governance and Risk Committee: Ensures that sound corporate governance is applied in the Scheme's affairs by making sure the Scheme complies with all laws and rules that affect its operations. The committee also makes sure that risks to the Scheme's business are identified and properly managed and that the interests of all stakeholders in the Scheme are properly protected.
• Audit Committee: Assists the Board of Trustees in carrying out its duties relating to the Scheme's accounting policies, internal
  control systems, financial and sustainability reporting and risk management practices.
• Operations Committee: Assists the Board of Trustees in ensuring efficient operations of the Scheme, such as the collection of contributions, claim payments and managing member records.
• Clinical Governance and Ex Gratia Committee: Assesses, decides and reports on the approval of ex gratia payments, such as the payment of members' claims where normal benefits are not available. Strict criteria are consistently applied when the committee meets every six weeks to consider requests for ex gratia payments.
• Dispute Committee: Independently considers and presides over any dispute the members may refer to them for consideration.
• Remuneration Committee: The Committee's responsibilities include overseeing the maintenance and administration of the GEMS remuneration policy and the performance management policy for employees, Trustees and independent committee members and reporting against the Policy. In addition they oversee the maintenance and administration of the GEMS performance management policy for employees as well as the annual employee and Trustee salary surveys conducted on behalf of the Scheme.

These structures are supported by the GEMS service provider network, which consists of best-of-breed service providers who have been contracted to provide various administrative and operational services to ensure that you get access to quality healthcare.

Good corporate governance is regarded as critical to the success of the business of the Scheme and the Board is unreservedly committed to applying the ethical values supporting good corporate governance - transparency, fairness, accountability and responsibility - in all dealings by, and in respect and on behalf of, the Scheme. To maintain this standard, we have adopted a stakeholder-inclusive approach to corporate governance and are bound by mandates and principles of treating members fairly.

In this vein, we embarked on a countrywide GEMS Lekgotla Roadshow where the GEMS Trustees and executives engage face to face with members to hear your burning issues and questions about the management of GEMS and to provide feedback on these. We aim to continue with these Roadshows in 2016, as they provide valuable insights that influence some of the decisions by the Scheme that affect you.

As the perception of our stakeholders affects our reputation, we envisage that clear and open communication with you will enhance the reputation of the Scheme.