This comes after the Public Servants Association (PSA) rejected the increase, arguing that it would reduce the salaries of government employees, making medical aid more expensive and unaffordable.

GEMS Principal Officer, Dr Stanley Moloabi, explained that the proposed hike is based on the anticipated healthcare funding needs of GEMS beneficiaries.

"One of the biggest drivers of this increase is the utilisation of member benefits by our members. Based on this utilization that we have experienced thus far, we will then have actual models which predict or estimate what the utilization will be for the coming year, 2025. And based on that, for us to be able to cover the members' needs from a health demand point of view, it was determined that the average is around 13.4," Moloabi said.

Moloabi also noted that the actual increase will vary from member to member and is influenced by several factors.

"There will be members who will have a slightly higher increase than 13.4 and there'll be members who are just around (13.4). It is simply because some members have got more beneficiaries that are covered and the option choices. So we have 5 options plus one efficiency discount option which is basically one that is discounted based on the restrictions that are on the option. And then obviously there are inflationary factors," he said.

--SABC/ChannelAfrica--