By Robyn Laubscher

The warmer weather and festive season store displays are a sure sign that the descent to the year-end rush will soon be upon us.

Before the flurry begins, it’s a good opportunity to review your financial affairs, particularly your medical aid, as most medical schemes release their new tariffs and changes in their benefits towards the end of the year.

Take a holistic approach to tariff increases

Many people believe that medical aid rates will increase, and there isn’t much they can do about it, apart from adjusting their budget accordingly. This mindset is overly simplistic, however, It is important to have a sound understanding of your family’s medical aid benefits and take this into account when considering any changes to your medical aid plan.

We can’t predict when we are going to fall ill, but we can be more aware of certain factors that may influence our well-being – such as knowing our family’s medical history and detecting problems earlier by getting regular check-ups. Prevention is, after all, better than cure.

A hard lesson learnt

A friend of mine recently related to me how she had always believed she had a good understanding of the medical aid benefits her family has access to. However, it was only when she had a health scare that she decided to critically evaluate the cover she had in place.

This wasn’t the right time, but it did prompt her to really put in the effort to understand her medical aid and gap cover benefits. It took a few tough conversations with her adviser about her risk benefits, and a feeling of panic at the thought of not having enough cover, but her adviser was able to guide her through a logical conversation and highlight how they got to those numbers in the first place.

This story is a reminder that it’s too late to change your cover after an event has occurred! Our needs – as well as those of our family – change as time goes on, which is why it is so important to ensure that your cover – be it risk, health provision for savings, or retirement – is aligned with your needs and updated regularly.

Critically evaluate your financial wellness regularly

Ensure that you look beyond the contributions or premiums you are paying and really understand what you have cover for, or what you are saving for.

This process is sometimes rather intimidating, so partnering with a specialist financial adviser is most definitely worth it! Make the right choices today that will lead to a lasting legacy.

* Robyn Laubscher is the advice and product specialist at PSG Wealth.

PERSONAL FINANCE