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This section gives medical aid schemes the power to cancel or suspend membership if they can establish that the member failed to disclose any information that may be regarded as 'material'. The Act, however, does not provide a definition of what constitutes material information. It is clear that in light of the Act the definitions developed by case law, dealing mainly with insurance, are no longer helpful. For insurance purposes, information is material if it would influence the decision of a prudent insurer with regard to the risk to be covered or premiums to be paid. However, a recent decision by the Appeal Board of the Council for Medical Schemes (the Council) has thrown some light on what would not be considered material for purposes of the Act.

Medical aid schemes, HIV status and 'material non-disclosure'.