Is your child dependant on your medical aid turning 21 soon?

– Tanya Motlafe (Director, Cornerstone Healthcare Consulting Services)

Celebrating a child’s 21st birthday is a major milestone, usually filled with joyous wishes and a great party. However, many children who turn 21 are not necessarily financially independent and still rely on their parents for financial support. If your child is listed as a dependant on your medical aid and will be celebrating their 21stsoon, this post is for you.

Once your child turns 21, they will no longer be listed as a child dependant on your medical aid, but as an adult dependant. This means that their dependant premium will increase substantially or even double.

Fortunately, there are ways that you can continue to support your child financially, without having to deal with the massive premium increase. At Cornerstone Healthcare Consulting Services, we prioritise your financial and physical health above all else, while striving to ensure that you make the best choices for you and your family. That’s why we have compiled the following scenarios to illustrate the different medical aid choices that are available to you when your child become and adult.

Scenario 1: My child is studying full time.

If your child turns 21 but is a full time student and fully dependant on you financially, they will still be able to stay on your medical aid as a child dependant on selected medical schemes. This means they will still be charged child dependant rates and you will be able to avoid a large increase on your premium. All you must do is to provide your scheme with proof of study.

Scenario 2: My child is studying part time but is earning an income.

Here, because your child is earning an income, he or she will become an adult dependant on your medical aid and the increased premium will apply. To avoid this increase, it is advisable to get your child a new, customised medical aid plan that meets their needs. Some medical schemes offer great student medical aid plans that are tailored made for students, both full-time and part time. You can still support your child by paying the monthly premiums, but a student medical aid will be much cheaper than an adult dependant on a comprehensive plan. Although student plans have smaller monthly premiums, they don’t compromise on quality cover. This means you will still get peace of mind knowing that your child’s healthcare needs are covered, but at a much more affordable rate.

Scenario 3: My child is working full time but earns an entry level salary.

Taking the first steps into a career can be tough, especially because entry level salaries tend to be small and only cover the basics. As a full-time employee, your child will automatically become an adult dependant on your medical aid when they turn 21. Try to avoid the premium increase by investigating more affordable medical aid cover for your child, like a hospital plan with gap cover. The premiums on these plans are often much smaller, but they still cover the most important medical needs. Even if you keep on paying your child’s premiums, you might still end up saving hundreds each month.

As evident form the scenarios above, the medical scheme world can be a very overwhelming and complicated place. This is especially true if you want to distinguish one medical aid plan from the other, while comparing the benefits each plan offers. That is why it’s vital to have a specialised medical aid broker by your side to help you along the way.

Contact us today to find out how Cornerstone Healthcare Consulting Services can be of assistance to you and your family.

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