Author: Sibusiso Shangase
If someone stopped you today and asked: “What is the one thing you value most in life?”, what would you say?
Family. Time. Freedom. Financial security. Travel. Peace of mind perhaps? But the truth of the matter is this: none of these are possible without your health.
Health is not just one value among many; it is the foundation that makes every other value achievable. And yet, for so many employees in South Africa, protecting that foundation is treated as a luxury rather than a necessity. Access to health care and appropriate health cover is imperative – and it should not depend on how much one earns.
Health insurance vs. medical aid
These two terms get used interchangeably but they are not the same thing. Understanding the difference matters.
Medical aid works on a member-funded model. You and your fellow members pool contributions into a scheme, and the scheme pays out for healthcare costs according to a set of rules, benefit limits, and often a managed care network. Medical aid tends to be comprehensive, but it is also expensive, and premiums usually increase as members get older or claim more.
Health insurance, on the other hand, pays out a fixed benefit when a defined event happens, for example, a cash payout for hospitalisation, a specific procedure, or a diagnosed condition. It is typically far more affordable, simpler to understand, and does not carry the same underwriting complexity as medical aid. For many employees, especially those who cannot afford full medical aid, health insurance is the realistic bridge between no cover at all, and proper protection.
In short: medical aid pays your healthcare provider directly for a wide range of services. Health insurance pays you a benefit when something specific happens so you can use it however you need to, for hospital bills, transport, lost income, or ongoing costs.
The real cost of doing nothing
Many employees without medical aid or health insurance are one emergency away from serious financial hardship. And when that emergency hits, the only fallback is a public healthcare system most people try to avoid if they possibly can, because of overcrowding, long waiting times, and limited resources.
There is no doubt that many public healthcare workers do incredible work under intense pressure and limited resources. But when an employee gets sick or their child needs urgent care, they deserve options. They deserve the dignity of choosing where and how they want to get treated, and not being forced into a system by circumstance because nobody gave them a better alternative.
The truth of the matter is that many HR managers and business leaders already have solid medical aid cover for themselves and their families, so employee health benefits can quietly slip down the priority list. It is not because they don’t care, but often because they simply do not see it as urgent, especially when their own cover is sorted.
But that blind spot has a real cost. Employees earning the least are the ones who most need protection when a medical emergency arises, and they are usually the ones with no cover at all. They are left to either pay out of pocket, go into debt, or rely on public healthcare. Meanwhile, private, affordable health cover is readily available to them – they just have not been given the chance to access it.
“But we can’t afford to increase our costs!”
This is the most common objection, and it is a fair one. No business wants to add expenses right now. But offering group health insurance does not have to mean a bigger bill for the company. There are ways to structure it that keep costs neutral for the employer, while still giving employees real protection. Here are some practical options:
- Cost-to-company structuring: The premium comes out of the employee’s own cost-to-company package, meaning it is their choice, funded from their own remuneration, not an added company expense. Existing employees can opt in voluntarily; new hires can have it built into their offer from day one.
- Built into salary review time: Instead of a straight salary increase, employees are offered health insurance as part of (or instead of) that increase. Take-home pay stays the same, but employees walk away with real protection they did not have before.
Not every employee will want to trade a portion of a salary increase for cover – some will always prefer more cash in hand. That is understandable. But when employees actually understand what is at stake, what one hospital stay without cover could cost them for example, many will see the trade-off differently.
Why this matters for employees
For employees, this comes down to choice and protection.
- Choice: Employees deserve the option to decide for themselves whether health cover matters to them – not to have that decision made by omission because nobody offered it.
- Protection: A single unexpected illness or hospital stay should not be the difference between financial stability and years of debt.
- Peace of mind: Employees who know they are covered can focus on their work, their families, and their lives instead of carrying constant anxiety about “what if something happens.”
- Fairness: Health cover should not be a benefit reserved for those who can already afford medical aid on their own. Every employee, regardless of income level, deserves a realistic path to protecting their health.
A question worth asking
So, going back to that first question…
Ask your team what they value most in life. You might be surprised by how many of them would jump at the chance to protect what matters most if only they were given the option.
Group health insurance is not about adding pressure to a business. It is about giving every employee, regardless of their income, a fair shot at the same peace of mind that management already typically enjoys. If you are interested in exploring an affordable, flexible group health insurance solution for your team, chat to us and we will find a structure that best suits your business and people.
HRTorQue Financial Services is a registered financial service provider – FSP number 52068