News

Bonitas breaks ties; Medscheme fights back

02 Feb 2026

Bonitas Medical Scheme announced that it is ending itslong-running (40 years) administration relationship with Medscheme. – Business Day (2 Feb 2026)
On 28 January Bonitas, which covers more than 730,000 people, appointed Momentum to take over its administration services contract and awarded its managed care services contract to Private Health Administrators (PHA). The changes cover all Bonitas options except Boncap, its low-income option.
Meanwhile, Medscheme, a subsidiary of JSE-listed investment group Afrocentric, will appear in the High Court on 3 March to interdict the awarding of the contracts pending the outcome of a probe by the Council for Medical Schemes (CMS) into alleged tender irregularities. Bonitas principal officer, Lee Callakoppen, said Medscheme is seeking to halt awards that have already happened and claimed that the litigation is an abuse of process because it could compel Bonitas to continue paying Medscheme for years while the CMS investigation proceeds.

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