BOMaid has partnered Liberty Life to launch a new product in the market, Hospital Cash Back Plan which covers the member’s personal bills while they are admitted at a health facility.
The product, which was launched on Wednesday, has been designed to cover one’s costs for the period they are admitted in a hospital. The benefit, according to Dr Lorato Mangadi - a Fund Administrator at South View - pays cash for each day that a member is in hospital and doubles when one is in ICU. For one to qualify for the benefit they have to spend not less than three days in admission while seven days is a prerequisite for less serious injuries.
Mangadi said the benefit pays a lump sum that is not linked to either the cost of hospital or the actual hospital expenses incurred and paid directly to the member and not to the doctor. Hospital Cash Plan covers both natural and unnatural causes of hospitalisation and gives loyalty bonus every three years whether one has made claims or not during that particular period.
Lulu Rasebotsa, Managing Director of Liberty Life, said the product design is part of Liberty’s refreshed 2020 strategy to focus on customer centricity that will drive the company’s vision to become the trusted leader in insurance and investments in Africa and other markets.
“With a 3.2 percent insurance penetration rate in Botswana, we recognise the opportunity to grow the market by developing differentiated products that are innovative, relevant and simple to understand,” Rasebotsa said.
Hospital Cash Plan has been made to cover the member’s personal bills related to the hospital stay while BOMaid Medical Aid Society will take care of the doctor and hospital bills.
It is reported that in 2013 alone, more than 170 000 people were admitted in hospital on average of seven days stay and 3.5 percent of those are said to have passed on.
“This new product is designed to give our customers peace of mind knowing that in the vent of hospitalisation, the Hospital Cash Back Plan will provide them with money to cover day-to-day expenses such as transportation, groceries, bills and any shortfall in income,” she said adding that the Plan is applicable in locally and in South Africa.
The Hospital Cash Back Plan was launched along other three products. These are the Funeral Plan, Top-Up Funeral Plan and Premium Waiver which are being introduced to help protect families against unexpected expenses when faced with loss of one of their own.
The Funeral Plan, according to Dr Mangadi, has increased the benefit basic cover from P8, 000 to P10, 000 for the member, spouse or parent. The funeral benefit which is now underwritten by Liberty Life is embedded within the members medical aid cover; hence the member pays no additional subscription.
Under the Funeral Top-Up plan, Bomaid is now giving flexibility to its members to top up their basic cover and improve it to either P20,000 or P25,000 for members, spouse and parent.
The other product launched, Premium Waiver on death, covers premiums for the registered dependents for 12 months.
Benefits of the scheme are that, it ensures that the dependents are not left without medical cover immediately following the death of the main member. It also said to provide financial freedom for dependents to assist with their circumstances without having to worry about the hassle of changing medical aid plans.