Circular-PI-MA-2-2005 – Contribution and Benefit Changes

NAMFISA
NAMIBIA FINANCIAL
INSTITUTIONS SUPERVISORY AUTHORITY

• Safeguarding the Nation's Wealth! -

September 16, 2005

Enquiries: E.U. Tjipepa

TO: NAMAF, MEDICAL AID FUNDS, HEALTHCARE CONSULTANTS AND FUND ADMINISTRATORS

CIRCULAR LETTER: PI/MA/2/2005

RE: CONTRIBUTION INCREASES AND BENEFIT CHANGES

1. The Registrar of Medical Aid Funds is desirous of streamlining the process of annual approval of amendments to the rules of medical aid funds pertaining to contributions and benefits. The objective is to, as far as possible, ensure that rule changes on contributions and benefits are assessed and registered prior to their taking effect on 1 January of the year concerned.

2. The Registrar is also mindful of the fact that medical aid funds are required to comply with section 31 of the Medical Aid Funds Act, 1995 (Act 23 of 1995), as well as the requirements of NAMFISA Circular Letter PI/MA/6/2003 dated October 20, 2003.

3. Acting in terms of NAMFISA Circular Letter PI/MA/6/2003, the Registrar therefore emphasize coherently that rule changes to contributions and benefits which are intended to take effect at the beginning of any year must be submitted by the medical aid funds to the Registrar no later than 31 of October of the preceding year. Such rule amendments concerning contributions and benefits should further be accompanied by the information as requested in above-mentioned circular (copy attached).

4. In the case of amendments to contributions and benefits that have been submitted as outlined above, the Registrar will be obliged to procure his best endeavors to ensure that such benefit and contribution changes are assessed and, where appropriate, approved before the beginning of the financial year in which they take effect.

5. The deadline for submission of rule amendments for contribution increases and benefit changes is 31 of October each year and that the year 2005 is not exception for the implementation of Circular Letter PI/MA/6/2003.

Yours truly,

Marcelina Gaoses
Deputy Registrar (GM): Provident Institutions
FOR REGISTRAR: MEDICAL AID FUNDS

• P.O. Box 21250 Windhoek NAMIBIA ● 154 Independence Avenue ● 8th Floor, Sanlam Centre
• Tel: (+264 61) 290 5000 ● Fax: (+264 61) 256303 ● E-Mail: info@namfisa.com.na

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NAMFISA
NAMIBIA FINANCIAL
INSTITUTIONS SUPERVISORY AUTHORITY

• Safeguarding the Nation's Wealth! -

October 20, 2003

Enquiries: E.U. Tjipepa

TO: ALL PRINCIPAL OFFICER

CIRCULAR LETTER PI/MA/6/2003

RE: APPROVAL OF BENEFIT AND CONTRIBUTION CHANGES

This letter serves to advise all funds that, in anticipation of the benefit and contribution changes to be implemented for the year 2004, the Registrar is required to properly check, and if necessary, investigate and resolve issues of concern with a fund before approval of he proposed changes can be granted.

As time is required to achieve this objective, all funds are advised to submit their benefit and contribution changes by October 31, 2003, for their changes to be implemented effective January 1, 2004.

Kindly, take note that each benefit option is expected to include prescribed minimum benefits, to be self-supporting in terms of membership, financial soundness and not to jeopardise the financial soundness of any benefits option within the fund.

The continuation of existing benefit (s) in respect of the financial year 2005 should be submitted to the Registrar by 31 October 2004 together with the most recent management accounts for the year 2004, number of members enrolled in each option and the substantiated motivation for retaining such benefit (s) if failed to perform financially in indicating steps taken to rectify the situation.

We repeatedly advise you that to implement any rule benefit and contribution changes, before this office has granted approval, is in direct contravention with the Act.

Yours truly,

Marcelina Gaoses
Deputy Registrar (GM): Provident Institutions
FOR REGISTRAR: MEDICAL AID FUNDS

• P.O. Box 21250 Windhoek NAMIBIA ● 154 Independence Avenue ● 8th Floor, Sanlam Centre
• Tel: (+264 61) 290 5000 ● Fax: (+264 61) 256303 ● E-Mail: info@namfisa.com.na