During the signing of the National Health Insurance (NHI) Bill, Health Minister Joe Phaahla said that it will be implemented in two stages over the coming four years, between 2024 and 2028.
President Cyril Ramaphosa signed the NHI Bill into law at the Union Buildings in Pretoria on Wednesday, May 15.
While the implementation of the bill is still on ice, Phaahla outlined a lead-in timeline for the much-talked-about bill.
According to the minister, the government can introduce the first phase in the next two years, but he could not dwell much into the funding models of it.
During the first stage, the minister said they would focus on establishing and strengthening the healthcare system as well as ensuring that there was quality improvement across the country.
In the second phase, Phaahla said they would concentrate on rolling out the health insurance to the provinces as part of completing the spadework done by the first phase.
The second phase, scheduled from the latter half of 2026 to 2028, will encompass a more comprehensive implementation of NHI programmes, building upon the groundwork laid in the initial phase.
What is NHI and how will it benefit South Africans?
NHI is a health financing system that aims to provide universal access to quality and affordable healthcare services to all South Africans, irrespective of their socio-economic status.
It will cover all races, rich or poor as well as legal long-term residents. This means that when people visit healthcare facilities, there will be no fees charged because the NHI fund will cover the costs of people’s medical care in the same way that medical aids do for their members.
NHI serves as the universal medical aid and through this, citizens will have access to a full range of quality health services they need, when and where they need them, without financial beggary.
Basically, this will narrow the gap between the rich and poor in terms of standards of healthcare.
Who will fund the NHI?
- General taxes.
- Contributions of persons earning above a set amount.
- Monthly contributions made by the employees to the fund.
Employers will assist the NHI Fund by ensuring that their workers’ contributions to the fund are collected and submitted, in a similar manner to UIF contributions.
Is medical aid still relevant?
Phaahla said NHI would not replace medical aid schemes, adding that members were free to continue with their members if they wished to.
Phaahla urged citizens not to cancel their membership, as the rollout of the NHI system would take years before it would be fully operational.
“Don’t abandon your medical scheme as yet, everything will be transparent the day when it reaches certain reduced coverage. The Ministry will announce when everything, all the basic services are covered, hopefully by 2028 and beyond.
“Please don’t throw away your medical scheme and don’t stop your monthly stop orders,” he said.
Section 27 (1)(a) of the Constitution states that “Everyone has the right to have access to health care services, including reproductive health care.”
Ramaphosa said this would ensure that citizens receive equal healthcare services.
He said this transformation is a commitment to eradicate the inequality of the healthcare system in the country, adding that no citizen must endure pain while seeking healthcare.
kamogelo.moichela@iol.co.za
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