Service providers start accepting PSMAS cards

Source: Service providers start accepting PSMAS cards – herald

Debra Matabvu

SEVERAL medical service providers have resumed accepting Premier Service Medical Aid Society (PSMAS) cards, marking a significant step in the ongoing reform process aimed at restoring confidence in the troubled medical aid scheme.

PSMAS had faced widespread rejection from service providers after being classified as a defaulting medical aid society, leading to disruptions in healthcare access for its members, most of whom are civil servants.

The Government, in consultation with PSMAS members, appointed an interim manager to address governance and service delivery challenges identified in a forensic audit.

In an interview with The Sunday Mail, Health and Child Care Permanent Secretary Dr Aspect Maunganidze said the society was now on a recovery path.

“You might be aware that PSMAS was classified as a defaulting medical aid society and after a forensic audit, the Government, through the regulator and with concurrence of the PSMAS members, elected an interim manager to deal with governance and administrative issues and other challenges related to service,” he said.

“PSMAS was never closed but through the interim management is on a path to improved operations and service delivery. The network of providers has improved with the acceptance of the PSMAS card. The process of reforming is ongoing and there are many positive developments with card holders accessing services, including improved access to medicines.”

Dr Maunganidze said funding remains central to the recovery efforts.

PSMAS is financed through both employer and employee contributions, but Government contributions are currently in arrears.

“While the employers’ contributions are currently in arrears, there is a framework in place to improve this stream,” said Dr Maunganidze.

“This will definitely result in better service and client satisfaction.”

In 2022, the authorities ordered a forensic audit into PSMAS following widespread concerns over mismanagement, poor service delivery and financial irregularities within the organisation. For years, PSMAS had been grappling with mounting debts, delayed payments to service providers and allegations of abuse of funds, which severely undermined its ability to provide healthcare services to its members.

The audit uncovered serious governance and administrative lapses, including weak internal controls, questionable procurement practices and excessive executive remuneration that was deemed unsustainable and inconsistent with the society’s financial position.

In response to the findings, the Government, with the concurrence of PSMAS members, appointed an interim manager to stabilise the organisation, implement reforms and restore its credibility.

The intervention sought to safeguard member contributions, improve operational efficiency and re-establish relationships with medical service providers who had withdrawn their services due to non-payment.

The audit formed the foundation for a broader restructuring process designed to return PSMAS to financial and operational health.

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