The merger will strengthen what is already the second-largest health care intermediary consultancy in South Africa, with a combined health care portfolio exceeding 110 000 principal members. The combined entity, which will operate under the NMG Benefits brand, will continue to provide independent advice on the evaluation, selection, management, education and communication of health care and wellness benefits across a range of providers.
Both companies have built strong businesses in the retirement funds service industry. JMCA has a significant consultancy base, which, combined with NMG's administration capability, will enable more enhanced services to be offered to both organisations' clients. According to NMG Benefits CEO, Andrew Warren: "Both JMCA and NMG Benefits have a strong actuarial heritage and merging our capabilities will forge one of the strongest and most robust actuarial teams in South Africa, which, in turn, will advance our core offering to our clients."
The combined actuarial division will consist of 35 team members, including eight qualified actuaries, and will offer actuarial valuations of retirement funds, life assurers and medical aid schemes, as well as the assessment and funding of post-retirement medical aid liabilities and assistance with benefit and contribution design.
Commenting on the merger, the chairman of the NMG Group, Geoff Baars, said: "Both firms provide consulting and advice to prestigious blue chip companies, and are committed to the highest levels of client service. We believe that this merger will enable us to provide a greater depth and quality of service across our various divisions."
The founder and chairman of JMCA, Jacques Malan, said that the reaction from clients and staff had been extremely positive, given the obvious synergies that would improve service capacity and delivery from the merged operations.
"The complementary nature of our two businesses will provide for extensive cross-selling opportunities and enhanced access to resources in all geographical areas," according to Nico Smit, CEO of JMCA. "As service-based companies, we consider it imperative for our clients to experience the full benefits of this association and in the current, rapidly consolidating market, the decision to merge our two entities was deemed to be in the best interests of all our clients."
