Circular 2 of 2025: Adjustment on fees payable to brokers

The Council for Medical Schemes (CMS) hereby confirms that the Minister of Health, Dr Aaron Motsoaledi, has approved an increase in the maximum amount  payable to brokers under Section 65 of the Medical Schemes Act (MSA) (131 of 1998). The revised amount is now R121.84 plus value-added tax (VAT).

The implementation date for contributions received by medical schemes is 1 January 2025, as per Government Gazette 52035, Notice 5826, dated 3 February 2025.

Regulation 28(2), published in terms of the Medical Schemes Act, now reads as follows:

“Subject to sub-regulation (3), the maximum amount payable to a broker by a medical scheme in respect
of the introduction of a member to a medical scheme by that broker and the provision of ongoing service
or advice to that member shall not exceed –

a) R121.84 plus value-added tax (VAT) per month or such other monthly amount as the Minister shall
determine annually in the Government Gazette, taking into consideration the rate of normal inflation or;

b) 3% plus value-added tax (VAT) of the contributions payable in respect of that member, whichever is
the lesser.”

Download the Circular here.