Chairman's year-end message
2017 seems to have flown by. Once again, it's been a challenging year on many fronts, but I am pleased to say that the Scheme, its management team, our administrators and providers have continued to deliver a highly professional service to our members. We have a strong, extremely capable Board of Trustees, who are unwaveringly committed to serving the best interests of our members and ensuring the sustainability of the Scheme – keeping it well positioned to meet the challenges of our changing industry.
The Scheme has performed in line with the long-term-funding forecasts as members continue to receive generous benefits at reasonable contribution rates. This has not gone unnoticed: members have indicated their satisfaction with both their benefits and the services provided by all our service providers.
November projections indicate that we will end the year slightly under budget, largely as a result of fewer members having been hospitalised. This is good news, as hospitals receive almost half the total benefit payments made. The cost of specialist services continues to significantly outstrip inflation, resulting in high out-of-pocket expenses. We are continuously exploring networks to source additional value to ensure our members’ benefits are stretched as far as possible.
The investment markets remain challenging and volatile in these uncertain times. The Scheme's investment returns have not kept pace with our targets, however, the reserves remain robust, currently at 483%.
Looking ahead, 2018 will be a year of challenge and opportunity. The Trustees are always mindful of cost pressures on our members and factor this into their decisions relating to benefits and contributions. 2018 contributions have been increased in line with the market and benefits have been maintained or improved.
The Trustees are pursuing opportunities emerging in the digital environment. We believe we are well placed in the Discovery stable to implement future tools to ultimately offer a more efficient and cost-effective health delivery system.
In closing, I am, as your Chairman, honoured and proud to report that the Anglo Medical Scheme will reach its fiftieth anniversary in 2018. I can confidently say that AMS has grown from strength to strength and is currently a very healthy and attractive medical scheme, with its members at the heart of its business. Very best wishes to you all for a safe, happy holiday period and a healthy 2018.
Colleen Elliott
Chairman