Jeremy Yatt, Fedhealth Principal Officer

When it comes to corporate medical aid options in South Africa, there’s less choice than initially meets the eye. Although over 70 medical schemes are active in the country, only 16 of them are open schemes that any individual or company can join; the rest are restricted to specific employer groups or industries. Within those open schemes, a few major players dominate the space: Discovery Health, notably, holds nearly 58% of the total market share.

In light of this, the recent partnership between Sanlam and Fedhealth is set to change this landscape permanently for both consumer and corporate clients. “When it comes to corporate medical aid, employers are under increasing pressure to find the right solution for their employees beyond just covering their basic health needs,” says Jeremy Yatt, Fedhealth’s Principal Officer. “They also want a medical aid scheme that integrates wellness, improves morale and productivity, and that acts as a retention tool for valuable talent – all while being financially viable as a company benefit.”

Yatt says Fedhealth and Sanlam’s scheme aims to deliver all this, while also solving common consumer frustrations with medical aid in general. “Many consumers find medical aid as it is today to be rigid, complicated and expensive,” he says. “Our relaunched scheme aims to provide a solution to these by embodying five core values: affordability, customisation, inclusivity, simplicity and trust. These values will shape everything from pricing strategies to benefit enhancements and partnerships, making it the medical aid scheme that South African corporates not only need, but deserve.”

For corporates in particular, the partnership between Fedhealth and Sanlam will mean easier access for employees to a suite of physical and financial wellness products. At the heart of this is the Sanlam Integrated Health Product Strategy that includes value-added health products such as Sanlam Gap Cover, Sanlam Primary Care, and oncology solutions. Beyond healthcare, these benefits extend even further with Sanlam Funeral Insurance and life insurance that includes health-linked bonuses, as well as discounted car and home insurance through Santam, and estate planning services with Sanlam Legacy.

For employee groups, these benefits are supported by a comprehensive corporate wellness suite designed to address workplace risks, absenteeism and chronic condition management. This wellness offering includes wellness days, personalised health assessments for senior leaders and a mental health offering in the form of psychosocial support. This is crucial given that one in six South African adults will face anxiety, depression or substance-use challenges in their lives.

More pathways to care

For larger corporate clients, on-site clinics provided will extend the access points to care. With 32 clinics nationwide staffed by occupational and primary health nurses, these facilities manage workplace risks, monitor chronic conditions and support absenteeism management. They also serve as pick-up points for chronic medication, promoting compliance and enhancing health outcomes.

Other services, such as Disability and Incapacity management, provide supporting structures and coordinated care that help employees recover and reintegrate more quickly. This, in turn, reduces company costs associated with long-term absence.

“These services go beyond insurance,” says Yatt. “They embed wellness directly into the workplace, reduce risk for employers and improve resilience among employees. For corporates, that means real returns in productivity and loyalty.”

Data, integration, and reporting

Within the corporate model, the individual components integrate with each other to provide corporates with a more strategic and holistic view of the benefits the offering adds to employees. As part of this, employers can access dashboards on absenteeism, chronic adherence, wellness uptake and ROI for a more strategic view. The result is a corporate medical aid that proactively reduces absenteeism, increases productivity, enhances employee loyalty and lowers long-term healthcare costs – all while ensuring compliance and delivering a measurable return on investment.

Cost predictability with built-in flexibility

Despite these benefit enhancements, the new scheme has secured a 2026 contribution increase of just 9.6%. This level of pricing stability is critical for corporates who are looking for predictable pricing when it comes to offering medical aid. And with modular combinations now possible – such as pairing hospital plans with Sanlam Primary Care or discounted Gap Cover — employers can design benefit tiers aligned to workforce demographics without ballooning costs.

A new corporate healthcare partner

For employers, the offering from Sanlam and Fedhealth provides access to an ecosystem that combines traditional cover, workplace wellness, integrated risk products, lifestyle benefits, and financial solutions. And for employees, this is a net benefit to their overall physical and mental well-being. “Built Different is more than a slogan,” says Fedhealth Principal Officer Jeremy Yatt. “By focusing on preventative health that’s informed by data and that keeps the big picture of the employee’s overall health in mind, it’s a blueprint for how medical aid should work as a corporate offering.”