South African Businesses Threaten Legal Action Over National Health Insurance Bill

Image Source: BUSA

Published by Everything ZA News

Johannesburg, South Africa – Business Unity South Africa (BUSA), a leading business advocacy group, has confirmed it will explore legal avenues to challenge the National Health Insurance (NHI) Bill after President Cyril Ramaphosa signs it into law.

BUSA has been a vocal critic of the bill in its current form, arguing that it is “unimplementable and damaging” to the healthcare system, the economy, and investor confidence. The organization previously petitioned Ramaphosa to send the bill back to Parliament for revisions.

“While we fully support the ideal of universal health coverage, the NHI Bill, as it stands, is unworkable, unaffordable, and potentially unconstitutional,” said BUSA CEO Cas Coovadia in a statement. He went on to express frustration that “extensive constructive inputs” from doctors, healthcare professionals, and other stakeholders were seemingly ignored.

The National Council of Provinces approved the NHI Bill in December 2023, paving the way for presidential signature. However, BUSA contends that this version of the bill will hinder, not improve, access to quality healthcare for South Africans.

“We will closely monitor the president’s announcement,” Coovadia stated, “and based on that, we will consider all our options, including appropriate legal interventions.” He emphasized BUSA’s commitment to ensuring a well-designed NHI for the benefit of all South Africans.

In previous interviews, Coovadia expressed concern that the bill, if implemented as written, could trigger a mass exodus of doctors from the country. He has also suggested that the rush to enact the legislation may be politically motivated, coinciding with upcoming elections.

BUSA’s potential legal challenge adds another layer of uncertainty to the NHI rollout. Supporters of the bill view it as a critical step towards achieving universal healthcare, while critics fear it will strain public finances and cripple the existing healthcare system.

With President Ramaphosa expected to sign the bill imminently, South Africa appears headed for a period of legal wrangling that could delay or even derail the NHI project.