A South African ear, nose and throat specialist has lashed out at Discovery Health, one of the country’s most popular medical aid schemes, claiming that Discovery Health is making “substantial profits at the expense of patients and the medical practitioners who look after them.”

The specialist, a Doctor Martin Young, said:

South Africa’s healthcare industry’s biggest business successes lie in the medical insurers and administrators, such as Discovery Health, who take substantial profits from medical funds at the expense of their members and of professionals who provide quality health services.

So, in essence, Martin is upset about Discovery Health taking a cut of his pie.

Meanwhile in Factville, Deloitte Consulting found that Discovery Health’s administration fees had decreased by 29% between 2005 and this year. Discovery CEO, Jonathan Broomberg said twice as much was spent on paying health professionals than on non-healthcare costs, and that expenditure on medical aid members’ use of doctors went up by 20% on average, every year.

Discovery Health still seem to be making a fair killing on 11% for non-medical costs every year. Broomberg took home a salary in the region of R14,8 million last year, before bonuses.

[Source : TimesLive]