They are not really “free”. They are only free to you.

Our fees are paid by your plan provider – but because these fees are already included in your premium, they do not cost you anything extra.

In fact, if you have medical aid or a gap cover but do not have a broker, you are already “paying” for a service you don’t receive. And no, you cannot opt out of this payment.

So how much are the service fees?

The fees are regulated by the Council of Medical Schemes, and the FAIS Act.

For medical aids, brokers receive 3% of the full premium, capped at R90. This cap is meant to dissuade brokers from selling you expensive plans just so they can get more commission.

Gap cover commission is paid on a sliding scale. 20% of the first R300, and 15% for xxx

Primary Health Care commissions vary from 3.25% to 20%.

So what happens to the money if you don’t have a broker?

The commission money stays with the service provider, which presumably uses it to self-service you.

We strongly recommend you appoint an independent broker instead of just relying on the provider to offer you the service you need

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