Remedy for unhealthy finances

HSF scheme provides members with cash payments for everyday medical costs, writes Claire Shoesmith

HSF scheme provides members with cash payments for everyday medical costs, writes Claire Shoesmith

Without doubt, your health is one of the most important things you have, so it goes without saying that you should look after it.

However, depending on your financial situation, this may be easier said than done. While many people make monthly contributions to a private health insurance scheme, this does little to help if you need to visit your local GP or receive outpatient treatment. You can, of course, claim back a proportion of your medical outgoings, but usually not until the end of the year and, at as much as €70 a time, a simple trip to see your GP can be a struggle for many people.

Up steps the HSF health plan, a so-called cash plan which provides contributors, their partners and family members with cash payments towards everyday medical costs including routine visits, hospital visits, complementary medicine and personal injuries.

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The scheme, formerly known as the Hospital Saturday Fund, was founded in 1873 and has been active in Ireland since 1949. It has more than 100,000 members in Ireland, the majority of whom participate in company or group programmes.

Starting from just €2 a week, individuals can chose to become members of the family scheme, which enables then to claim as much as 50 per cent of their medical costs for themselves, their partners and any children under 18. Alternatively, they can pay €3 per week to become members of the "one scheme", which enables individual members to claim as much as 100 per cent of their everyday healthcare costs.

Payments can be made via direct debit or through an employer via a payroll deduction system. More than 500 companies, Government departments and voluntary organisations participate in the HSF scheme.

"The mere fact that it's a very good money management tool is useful to some people," says Seán O'Dwyer, national sales manager for HSF in Ireland. "If you put a small bit into the fund on a weekly basis, and you come up against some unexpected bill, then you have the peace of mind that you can pay it."

The scheme is open to anyone under the age of 66, providing they satisfy certain health requirements, and membership is continually increasing, says O'Dwyer.

"You don't have to be ill to benefit from this voluntary scheme, which can be used either as the main method of offsetting routine healthcare and medical costs or can complement private medical insurance," says O'Dwyer. However, it should not be used as a substitute for health insurance, as in most cases it doesn't cover actual medical treatment.

The HSF scheme allows for several types of membership, which provide different levels of cover, and the more you put in to the plan, the more you get out of it.

The most basic level of cover entitles members to benefits including half the cost of any dental and optical treatment up to a maximum of €80 in any 12-month period for all registered persons; half the cost of consultation and treatment by a qualified and registered practitioner, such as a physiotherapist or a chiropractor, up to a maximum of €130, and a payment of €125 for every newborn or adopted child.

The maximum amount paid out depends on the contributions, which range from €2 to €11.50 a week for the family scheme. Members also receive cash payments for overnight hospital stays and day surgery. These can be up to €120 a night for the highest paying category and are tax-free.

Lump sums are also payable in the case of personal injury or accidental death. However, it is important to note that in most cases no claims can be made until you have been a member for at least three months, and some benefits require longer membership.

With the fund's "one scheme", designed for individuals, payments start at €13 a month and entitle members to refunds of up to 100 per cent on many healthcare expenses.

While cash plans can be helpful in balancing out your finances in unhealthy times, they are not a substitute for health insurance. The two work well hand in hand, and that's really how they should be used.

More information at www.hsf.eu.com/portal/irg/index.html