The NHI Act: Legal challenges lying ahead

The NHI Act: Legal challenges lying ahead

1 June 2024

Fedhealth understands members’ and other stakeholders’ ongoing uncertainty around the NHI Act.

The Health Funders Association (HFA), of which Fedhealth is a member, has established an NHI Steercom which has already met several times. It is chaired by Charlotte Mbewu and includes board members Jeremy Yatt (Fedhealth Principal Officer) and Craig Comrie, as well as the members of the HFA Technical Advisory Committee, Michelle Culverwell, Boshoff Steenekamp and Roseanne Harris.

The objectives of this Steercom are to:

  • Address the legal challenges surrounding the Act, and
  • Engage with key stakeholders to allay concerns and align, educate and collaborate where possible.

Preparations for litigation are underway, including appointing experts for economic input and doing research to support constitutional action. The legal team includes renowned human rights advocate Adila Hassim SC, as well as Wim Trengrove SC.

The NHI Steercom is also monitoring actions by other stakeholders such as:

  • Potential actions by minority political parties under Section 80 of the Constitution.
  • The High Court application by Solidarity, which seeks to declare the NHI Act constitutionally unsound and prevent its enactment.
  • Tracking the BHF’s case, which argues that the President ignored several presentations on the NHI’s unconstitutionality.
  • Discussions with other stakeholders such as BUSA and BHF to align legal arguments and share research.

Even with the NHI Bill snow signed into law, there will be no immediate impact on medical scheme benefits and contributions, nor any tax changes.

The HFA is well prepared to defend the rights of medical scheme members and all South Africans to choose privately funded healthcare, where necessary.

As a Scheme, Fedhealth endeavours to keep our members informed as these matters progress, while being as clear and transparent as possible.

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