Of SwaziMed
In a phone conversation yesterday, he acknowledged having received the questions and opted not to say anything. “I saw your questionnaire; I think you can publish the information that is at your disposal,” he said.
The following questions had been posed to Simelane:
Does SwaziMed submit to the regulatory powers of the Financial Services Regulatory Authority (FSRA)?
We have received information that SwaziMed offers medical scheme services to employers on condition that the entity will be the exclusive service provider of such services. What could be your comment to this?
Is it fair and competitive behaviour on the part of SwaziMed, which is already the dominant player, to demand exclusivity from the employer where the entity wants to be the service provider?
Now that SwaziMed has its own hospital, we have been reliably informed by some of your clients that they are compelled by the service provider to use only this hospital whenever they need to access medical services. What would your comment be to this?
FSRA MUM ON ISSUE
Meanwhile, on Thursday questions were also sent to FSRA Chief Executive Officer Ncamiso Ntshalintshali and a response was provided yesterday by the authority’s Head of Stakeholder and Consumer Affairs, Mbuso Gamedze.
“We acknowledge receipt of your questionnaire on the aforesaid subject matter. The FSRA will respond accordingly when the time is right, and we thank you most sincerely for your understanding in this regard,” he said.
In a subsequent telephone engagement, Gamedze said he was not aware how SwaziMed was not mentioned in the annual reports where other regulated schemes were included.
“Those are the things I will seek to establish. But I know that we do regulate SwaziMed as per the provided legislation,” he said.
It was put to Gamedze that it was one thing for the law to stipulate that SwaziMed was supposed to be regulated by the FSRA but it was another
“As per the Deputy Prime Minister’s statement Senator Themba Nhlanganiso Masuku early this week; the principle the nation stands on, remains our national Constitution and dialogue as a tool through which the nation and government employs to resolve any national problems in Eswatini,” said Nxumalo.
One of the seasoned attorneys in the country said the institution of the Judiciary was established to strengthen democracy, human rights and the rule of law.
Preferring to speak on condition of anonymity, he said it was injustice for people to attack such an important institution in the country.
“The collapse of the Judiciary means the malfunctioning of the other two arms of government – legislature and executive,” he said. matter the scheme submitted itself to the regulatory powers of the authority. “We do regulate SwaziMed and we will respond to the questions when the time is right,” Gamedze insisted.
The following questions were posed to the FSRA:
Does the FSRA exercise any regulatory power or oversight over SwaziMed or the latter does as it pleases?
Is the FSRA aware of reports that SwaziMed offers medical scheme services to employers on condition that they will be the exclusive service provider? If such reports have been received, what steps has the FSRA taken to address the concerns?
Is it legal for a medical scheme service provider to include an exclusivity agreement to an agreement entered into with the employer? If this is not legal, what are the penalties that are imposed on those found to have engaged in such conduct?
How prevalent is such conduct within the local medical aid industry?
Now that SwaziMed has its own hospital, is it legal for clients of this service provider to be compelled to use only this hospital whenever they need to access medical services? Meanwhile, in 2014 the FSRA, when giving an update on ‘medical schemes issues’, reported that it had developed an action plan aimed at guiding the process of introducing a supervisory and regulatory framework for the medical schemes industry as required by the FSRA Act.
As part of the plan, it said medical schemes operating in Eswatini had been identified and an introductory meeting with the medical schemes industry was held on October 24, 2013.
During the meeting, interim registration requirements were reportedly circulated and the market players were required to register by January 31, 2014.
A questionnaire focusing at understanding the nature and size of the market, the legal formation of the entities and the product offering was reportedly also circulated to the industry at the meeting, with the registration process of all market players commencing at the beginning of February 2014.