Subsidy to drive up membership

The recently announced subsidy for the Government Employees' Medical Scheme (Gems), including a 100 percent subsidy for employees earning less than R60 000 a year, is a worthwhile exercise that is expected to drive up the scheme's membership figures.

An administration assistant at the KwaZulu-Natal treasury department, who did not wish to be named, said that she was on another open scheme, but was unhappy and believed Gems offered broader and better cover.

Eugene Watson, the principal officer of Gems, said there were about 325 000 employees in the public sector who earned less than R60 000 a year. Of those, an estimated 200 000 were not on medical cover.

The scheme has signed up 15 000 principal members since it opened in January this year.

Civil servants who are already members of open medical schemes get a subsidy of up to R1 014 a month. The 100 percent subsidy is for civil servants on Gems' lowest option, Sapphire, which offers essential day-to-day benefits.

Government employees who earn more than R60 000 a year receive a 75 percent subsidy up to a maximum of R1 900 a month on Gems.