South Africa’s Medical Aid System Faces Growing Pressure as Young Members Drop Out

South Africa’s private medical aid system is under increasing pressure as younger, economically strained South Africans struggle to afford cover, raising concerns about its long-term sustainability. Nedbank CIB Senior Equity Research Analyst Luyanda Njilo says rising youth unemployment, weak wage growth and high medical aid premiums are pushing many young people out of the system, weakening the risk pool that supports older beneficiaries. He adds that without stronger economic growth, improved youth employment and healthcare reforms, affordability challenges will continue to intensify. CNBC Africa’s Rethabile Joala reports.