Your child is turning 21: what this means for your medical aid
So your bundle of joy is all grown up and turning 21 soon. This is an exciting time for both parents and children alike, but it changes things when it comes to medical aids in South Africa. Your child dependent will no longer be considered a child and will have to be removed from your medical aid plan. If you are wondering what this process entails and whether you can keep your child on your medical aid, read on for what having a 21 year old dependent means for your medical aid.
What if they are studying full-time?
Many 21-year-olds are pursuing further studies, which often means that they do not have an income or the means to pay for their own medical aid scheme. If your child is studying full-time and is financially dependent on you, many medical aids will allow you to keep them on your scheme for the duration of their studies.
This means that they will be charged child dependant rates, which can save you immensely on your monthly contributions. All you will need to do is provide your scheme with proof of study, which will need to be done every year that they are studying. This can be done by asking the university or college for a letter or by providing your scheme with a copy of your child’s student card showing that they are studying for that particular year.
What if they are unemployed?
Unemployment rates in South Africa are, sadly, at an all-time high. This often means that your children who are aged 21 and older are battling to find work and cannot afford to take out their own medical aid policies. If this is the case, then you will need to provide your medical aid with proof of their unemployment.
Many medical aids in South Africa understand this dilemma and are willing to give certain leeway to parents of children who are unable to find work despite having graduated university or being older than 21 years of age. You will, however, need to provide your medical aid with documents verifying the fact that your child is still under your financial care, which can be in the form of bank statements showing their lack of income. If you attempt to keep your adult child on your medical aid scheme despite the fact they are earning an income, this will be considered as fraud and could have serious consequences.
What if they only earn an entry-level salary?
A medical aid can be a huge expense for a lower-level or entry-level salary but for most medical aids, anyone who is earning an income will automatically become an adult dependant on your medical aid at the age of 21.
Unfortunately, it is difficult to keep your child on your medical aid if they are 21 years or older and are earning their own salary. You might want to help them by keeping them on as a dependant in order for them to save money, but you will be spending a lot more each month as they will now be eligible for adult premiums. You could help them to look into a hospital plan with gap cover that is tailored to their income bracket, so they do not go without a medical aid for too long.
What if they are studying short courses?
Students who are studying short courses are eligible to pay only child dependant rates for the duration of their courses. This means that, if your 21-year-old child is studying short courses and is unemployed, you will still only pay child dependant rates for them on your medical aid.
However, once the courses have ended, you will go back to paying adult dependant rates for them. There will be eligibility reviews conducted throughout the year for your child, based on their study completion dates. If your child is studying a three month diploma through an institution, for those three months you will pay child dependant rates, which will revert back to adult rates once the course is over.
What if they are disabled?
Disabled children over the age of 21 must be completely dependent on their parents in order to still qualify as a child dependant. You will have to provide proof to your medical aid in the form of supporting documents from doctors and a bank showing that your disabled child relies on your financially and physically.
Most medical aid schemes in South Africa do not consider disabled children over the age of 21 as adult dependants, but this could vary based on their type of disability. If your child is able to earn an income despite their disability, then you might find yourself being charged adult dependant rates. You will need to speak to your medical aid regarding their policies on disabled children who are 21 or older.
