Case Law[2022] ZAGPPHC 640South Africa
M.D and Another v Medihelp Medical Scheme and Another (2022-010668) [2022] ZAGPPHC 640 (26 August 2022)
High Court of South Africa (Gauteng Division, Pretoria)
26 August 2022
Judgment
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# South Africa: North Gauteng High Court, Pretoria
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## M.D and Another v Medihelp Medical Scheme and Another (2022-010668) [2022] ZAGPPHC 640 (26 August 2022)
M.D and Another v Medihelp Medical Scheme and Another (2022-010668) [2022] ZAGPPHC 640 (26 August 2022)
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sino date 26 August 2022
SAFLII
Note:
Certain
personal/private details of parties or witnesses have been
redacted from this document in compliance with the law
and
SAFLII
Policy
IN THE HIGH COURT
OF SOUTH AFRICA
(GAUTENG DIVISION,
PRETORIA)
Case No. 2022-010668
REPORTABLE:
YES
/
NO
OF INTEREST TO OTHER
JUDGES:
YES
/
NO
REVISED
NO
DATE:
26 August 2022
In the matter between:
M[....]
D[....]
FIRST APPLICANT
RARE DISEASES OF SOUTH
AFRICA NPC
SECOND APPLICANT
And
MEDIHELP
MEDICAL SCHEME
FIRST RESPONDENT
THE
COUNCIL FOR MEDICAL SCHEMES
SECOND RESPONDENT
JUDGMENT
MILLAR J
1.
This is an urgent application brought on
behalf of Z[....] D[....], (“Z[....]”) a 3-year-old child
who has been diagnosed
with a rare condition called Hunters Syndrome
MPS II (“MPS II”). This condition is genetic and has only
one registered
treatment within the Republic – an enzyme
replacement therapy called Elaprase.
2.
The application is brought in two parts –
Part A for an interim order that the First Respondent be required to
pay for treatment
of the condition pending the outcome of Part B –
a complaint to be lodged with the Second Respondent in terms of
Section 47
of the
Medical Schemes Act 131 of 1998
. This judgment is
dispositive only of the orders sought in Part A.
3.
The First Applicant, Z[....]’s
mother, is supported by Rare Diseases South Africa NPC, the Second
Applicant – a non-profit
organization which advocates for and
assists the interests of persons with rare diseases.
4.
The First Respondent is MediHelp Medical
Scheme (“Medihelp”). Z[....]’s mother has been a
member of this scheme
for 10 years and he has been a dependant member
from the day of his birth being 20 March 2019.
5.
MPS
II is a rare inherited genetic disorder which affects only 1 in every
100 000 people. The disease is caused by an enzyme deficiency
in
consequence of which the sufferer’s body cannot function
normally. This deficiency, if left untreated, results in both
bodily
damage and developmental difficulties. These may affect not only
appearance and mental development but also organ function
and
physical abilities
[1]
.
6.
It
is not disputed that MPS II, being a genetic condition is incurable.
However, Elaprase is the first and only registered treatment
[2]
that became available in the Republic and has been shown to be an
effective treatment that can slow or even halt the progressive
degenerative consequences which would ensue if left untreated with
Elaprase.
7.
Put simply, there is no other treatment
available which has the efficacy of Elaprase. All the specialist
medical practitioners who
are treating Z[....] - Dr Govandragloo –
a Specialist Paediatric Cardiologist, Dr Jeevarathnum – a
Specialist Paedeatric
Pulmonologist and Dr Lamb a Paedeatric
Neurologist have motivated the provision of Elaprase as being an
essential part of Z[....]’s
treatment.
8.
Z[....] was first diagnosed with MPS II
when he was 2 years old. In July 2021, he was first prescribed
Elaprase. His condition at
that stage was relatively stable but was
to be assessed every 6 months. A request for authorization by
MediHelp to pay for the
treatment of Elaprase submitted in July 2021
was declined.
9.
A number of reasons were originally
proferred by MediHelp for why it was not prepared to authorize
payment for Elaprase –
these included that treatment of MPS II
was not a registered prescribed minimum benefit, that even if it were
a prescribed minimum
benefit condition, the treatment with Elaprase
was not available in the public health service and was thus not a
prescribed minimum
benefit, that the health benefit plan of which his
mother, and him being a dependent, was a member did not cover chronic
medications
that do not qualify as prescribed minimum benefit level
of care and lastly that the benefit plan did not cover treatment with
medications
of the nature of Elaprase.
10.
After Z[....]’s diagnosis and
MediHelp’s rejection of the authorization, it came to the
attention of the Applicants
that a similar matter involving another
medical scheme was being considered by the Second Respondent –
the Council for Medical
Schemes (“CMS”). This matter was
referred to by the parties in this matter as the ‘Polmed’
matter and will
also be referred to as such in this judgment. Given
that the time lines for submission, consideration and a decision on
complaints
is relatively lengthy, specifically having regard to the
resources available to the CMS, a decision was taken by the Z[....]’s
mother, while his condition was relatively stable, to await the
outcome of that matter as it was likely to be of assistance in
determining the dispute with MediHelp.
11.
The decision of CMS in that matter was
subsequently handed down on 1 October 2020, then taken on appeal, and
the appeal dismissed
on 1 February 2022. In its ruling in the Polmed
matter, CMS found that MPS II is a prescribed minimum benefit (“PMB”)
condition and ordered that payment be made by Polmed for Elaprase as
well as all ancillary symptomatic treatment.
12.
Between the time of Z[....]’s initial
diagnosis and the CMS ruling in the Polmad matter, his condition
remained relatively
stable. Application was made again for
authorization after the dismissal of the appeal and on 15 February
2022, the authorization
was again declined by MediHelp.
13.
When Z[....] was examined in April 2022 by
Dr Govandragloo, a significant deterioration in his heart valves was
noted. By July 2022,
when he was again examined by Dr Jeevarathnum,
further damage to his heart valves was noted as well as enlarging of
his liver.
His conclusion after this latest examination was that
‘
ongoing failure to commence
treatment will result in further decline of cardiac, respiratory and
neurological symptoms decreasing
his life expectancy
.’
14.
It was this report and the opinion
expressed by Dr Jeevarathnum, that was the catalyst for the bringing
of the present application
and its enrolment on the urgent roll for
hearing.
15.
Somewhat lamentably, MediHelp opposed the
urgent hearing of the application on ‘
The
basis on which the application is brought is not commensurate with
the actual degree of urgency and not justifiable on the facts.’
It was contended by MediHelp that any
urgency was self-created and that the First Applicant ought to have
brought the application
at a much earlier stage – having
effectively been supine for a year. MediHelp was dismissive of the
reasons why an application
had not been brought any sooner and
displayed a marked lack insight into why the First Applicant, while
Z[....]’s condition
was relatively stable and had an
expectation that the dispute could be resolved, would not want to
embark on costly litigation
against MediHelp.
16.
The Applicants’ contention that the
lodging of a complaint with the CMS would not address the imminent
concern of Z[....]’s
deterioration without Elaprase because of
the time that such a process would take was met with the response
that ‘
At the very least, the
Applicant could and should, have lodged a complaint with the Council
as the designated statutory Regulatory
Body, which would not have
involved in the Applicant in any costs at all. The Applicant could
and should also have requested an
expedited hearing by the Council,
which the Council is fully empowered to do and, in my experience, has
done previously in other
matters.’
17.
This notwithstanding that the First
Applicant in her founding affidavit had informed MediHelp of the
Second Applicant’s endeavour
on her behalf to do just that and
having a representative of the CMS inform the Second Applicant by
WhatsApp message that ‘
The CMS
has more cases than the system can handle. Our committee tries its
best but the weight of the cases is heavy especially
as cases are
dealt with by Board members who are not full time employees. It would
have been ideal to have a full time adjudication
unit that resolves
these cases on a daily basis instead of bi-monthly.’
18.
In dealing with this aspect in reply, the
Applicants provided a table setting out when the various complaints
brought in respect
of MPS II had been brought to the CMS and had been
finalised. The average time period with the complaint being finalised
within
the shortest period of time taking 292 days and the one taking
the longest period of time 713 days, the average time period was
486
days – more than a year. The Polmed matter took 680 days –
almost 2 years. Given Z[....]’s condition and
the deterioration
thereof, he simply may not have at best just over a year and at worst
almost 2 years to wait for a complaint
to the CMS to be resolved.
19.
For the reasons set out above which clearly
establish that the life and quality of life of a young child will be
affected should
this application not be heard, I find that the
application is urgent.
20.
The CMS appeal ruling in the Polmed matter
of 1 February 2022 represented a positive outcome for Z[....] in that
MediHelp conceded
in its answering affidavit that MPS II is in fact a
PMB benefit condition. MediHelp conceded further that it falls into
PMB category
901K. In the present case MediHelp did not persist with
any of the other initial reasons given for refusing authorization –
as set out above.
21.
MediHelp did persist however in arguing
that it was under no obligation to authorize payment for Elaprase,
notwithstanding its concession
that MPS II is a category 901K PMB
condition. It was argued that the prescribing of Elaprase was not a
‘
prevailing predominant public
hospital practice’
and that
consequently it was not obliged to authorize payment for it.
22.
The
basis for this argument is found in
Section 29(1)(o)
[3]
read together with
Section 67(1)(g)
[4]
and
Regulations 7
and
8
in terms of the
Medical Schemes Act
[5]
.
23.
Annexure A to the Regulations of the
Medical Schemes Act provides
in the category ‘
Endocrine,
metabolic and nutritional
’ that
code 901K with diagnosis - ‘
Life
threatening congenital abnormalities of carbohydrate, lipid, protein
and amino acid metabolism
’ is to
be treated by ‘Medical Management’.
24.
The explanatory notes to Annexure A provide
that:
“
(2)
Where the treatment component of a category in Annexure A is stated
in general terms i.e. 'medical management'
or 'surgical management',
it should be interpreted as referring to prevailing hospital based
medical or surgical diagnostic and
treatment practice for the
specified condition. Where significant differences exist between
Public and Private sector practices,
the interpretation of the
Prescribed Minimum Benefits should follow the predominant Public
Hospital practice, as outlined in the
relevant provincial or national
public hospital clinical protocols, where these exist. Where clinical
protocols do not exist, disputes
should be settled by consultation
with provincial health authorities to ascertain prevailing practice”
25.
In other words, while conceding that MPS II
is a PMB condition for which it is obliged to provide cover, it is
argued that the treatment
to be provided is limited to ‘medical
management’.
26.
Since Elaprase is a relatively new
treatment and carries with it a substantial cost, it was argued that
while it may be the prevailing
and preferred treatment protocol
within the private healthcare sector, the same cannot be said for the
public healthcare sector.
27.
It
was argued further that since it was not established that the
prescribing of Elaprase is the prevailing public health sector
practice, Medihelp ought only to have to provide palliative or
supportive care which it was argued by implication excluded Elaprase.
Thus, it was not the payment
[6]
per
se
that was being challenged but rather whether Elaprase was the
treatment that had to be paid for.
28.
The CMS Polmed ruling had found MPS II to
be a PMB condition and had recorded an acknowledgement that there
were differences between
private and public healthcare service
practice. Notwithstanding this however, the CMS had found that
existing practice, without
Elaprase, fell squarely within the ambit
of
Regulation 15H(c)
which provides that ‘
provision
must be made for appropriate exceptions where a protocol has been
ineffective or causes or would cause harm to a beneficiary’
.
29.
The Polmed ruling did not deal at all with
the issue raised by Medihelp in the present matter. The complaint in
the Polmed matter
had been first made on 23 March 2020 only 2,5 years
after Elaprase was first registered. It is thus hardly surprising
that there
was at that stage, little or no evidence of any
‘prevailing’ or ‘predominant’ public hospital
practice.
The position is different now almost 5 years later.
30.
Medihelps’ concession that MPS II is
a PMB condition was made in its answer to the application. It was
only at that stage
that the Applicants became aware of the fact that
the opposition was to be predicated on this nuanced interpretation of
what treatment
should be provided having regard to the explanatory
note.
31.
That Z[....]’s treating team of Drs
Govandragloo, Jeevarathnum and Lamb all of whom are in the private
sector and all of whom
supported the provision of Elaprase, put the
question of prevailing private healthcare practice beyond issue.
32.
It seems apparent that the only issue
that MediHelp could place in dispute was regarding the practice in
the public healthcare service.
The argument was predicated on the
following passage in the founding affidavit, dealing with the
explanatory note in the Regulations
relating specifically to a
situation where there are significant differences in private and
public sector practices and where it
was stated: ‘
I
submit that this step in the test is not applicable in the instance
of a rare disease specifically as there is no ‘predominant’
standard of care, nor are there provincial or national hospital
protocols.’
The submission is
specifically qualified with reference to ‘a rare disease’.
33.
The Applicants in reply dealt
comprehensively with this argument and provided affidavits from the
of heads of the Paediatric Rare
Diseases Unit (Dr Varughese) and also
the Rare Diseases Unit (Professor Jacobson) at Charlotte Maxeke
Academic Hospital in Johannesburg
- a public healthcare facility.
34.
They confirmed that within their facility
Elaprase was prescribed to patients with MPS II and this was
supported by an affidavit
from Dr Klein of Sanofi Specialty Care, the
pharmaceutical company that supplies Elaprase who also confirmed the
supply of Elaprase
to the public healthcare service and to facilities
besides the Charlotte Maxeke Academic Hospital in Johannesburg.
35.
They also confirmed that there are, due to
the rarity of MPS II, no local protocols for dealing with it and that
for this reason,
the European guidelines are followed and are the
de
facto
protocols.
36.
Dr Klein also confirmed that Elaprase is
also supplied to the Red Cross Children’s Hospital in the
Western Cape, Ladysmith
Provincial Hospital in KwaZulu Natal, Steve
Biko Academic Hospital in Gauteng, Frere Hospital in the Eastern
Cape, Newcastle Hospital
in KwaZulu Natal and Mossel Bay Hospital in
the Western Cape.
37.
It
was argued for Medihelp that I should disregard the affidavits
establishing that Elaprase is available in the public healthcare
service. The argument was predicated upon the contention that this
aspect had not been specifically raised by the applicants in
their
founding papers. In this regard I was referred to the decision of the
Supreme Court of Appeal in Quartermark Investments
v Mkhwanazi
[7]
in which it was held that:
“
[13]
It is trite that in motion proceedings affidavits fulfil the dual
role of pleadings and evidence. The serve to define
not only the
issues between the parties but also to place the essential evidence
before the court. They must therefore contain
the factual averments
that are sufficient to support the cause of action or defence sought
to be made out. Furthermore, an applicant
must raise the issues as
well as the evidence upon which it relies to discharge the onus of
proof resting on it, in the founding
affidavit.”
38.
Was the issue of the prevailing or
predominant practice in the public healthcare service a foreseeable
issue that the applicants
ought to have dealt with in their founding
papers? It is readily apparent that at no stage from July 2021 until
the filing of the
answering affidavit in August 2022 was this issue
ever raised. It was raised for the first time in the answering
affidavit and
so at least insofar as the affidavits of Dr Varughese,
Professor Jacobson and Dr Klein are concerned, they address this
issue directly.
39.
The Applicants approached this court for
interim relief – the core issue being whether Medihelp would
accept that Z[....]’s
condition did in fact qualify as a PMB.
The issue to be determined was raised for the first time by MediHelp
in its answering affidavit.
40.
The evidence relating to this contained in
the replying affidavit is not new matter as was argued for Medihelp
but rather a conclusive
rebuttal of Medihelps’ allegation that
‘
The Public Hospital and Public
Sector practice has always been and still is limited to palliative
treatment and does not include
‘Elaprase” as treatment.
’
This was a bald allegation without any basis having been laid for its
making.
41.
This
issue was not in my view reasonably foreseeable and the applicants,
given the nature of the dispute, quite properly dealt with
it in
reply. Insofar as the replying affidavits deal with this, they are
admitted
[8]
.
To exclude them from consideration in this matter would to my mind
result in an injustice.
[9]
42.
What is apparent from the affidavits of all
the doctors and undisputed to my mind is that the use of Elaprase is
the only available
treatment for MPS II in both the private and
public sectors. It also was argued for Medihelp that ‘availability’
ought
not to be equated with ‘prevalence’ or
‘predominance’.
43.
Elaprase is provided in the public
healthcare service in the four most populous of the Republic’
s
9
provinces and in some instances, notwithstanding the rarity of the
condition, in more than one public hospital in a particular province.
44.
What
is clear is that Elaprase is both available and used by both the
private and the public healthcare service for the treatment
of MPS II
– given that the condition is so rare, it is hardly surprising
that the numbers of patients for whom it is prescribed
are so low. It
seems to me to be self-evident that if ‘prevalence’
[10]
or ‘predominance’ are to be the criteria upon which the
use of Elaprase is to be measured then it must be so measured
within
the context of the very low patient numbers. The rarity of the
condition means that the criteria that must be applied, and
the
regulations and their explanatory notes construed in this
context
[11]
.
To do otherwise would render them ineffective for rare conditions or
those with low patient numbers.
45.
By all accounts in the circumstances, the
Applicant has established at the very least, that
prima
facie,
the use of Elaprase is a
prevailing and predominant public hospital practice for this rare
condition.
46.
There
is another aspect to consider. Medihelp has characterized the
treatment available in the public healthcare sector as being
‘palliative’. Palliative
[12]
treatment is treatment to alleviate the symptoms of a disease. It
must be distinguished from curative
[13]
treatment which cures a disease. It is not in issue that Elaprase is
not curative of MPS II but is in fact a palliative treatment.
This
serves to reinforce my view that the applicant has established a
prima
facie
right.
47.
For the reasons set out above, I find that
the Applicants have met the requirements for the granting of the
interim relief sought
in Part A of the application. In summary, the
Applicants have established:
46.1
That MPS II is a PMB condition and that
prima facie
there is no significant difference between private and public sector
healthcare practice with regards to prescribing of Elaprase.
46.2
That the deterioration in Z[....]’s
condition over the last year but in particular since April 2022,
means that if he is not
afforded treatment with Elaprase, his life
and quality of life will be irreparably adversely affected;
46.3
That the balance of convenience on
consideration of the matter as a whole favours the granting of the
interim order sought and;
46.4
That
there is no alternative remedy that is available having regard to the
deterioration in Z[....]’s condition and the time
it is likely
to take for the CMS complaint
[14]
to be finally determined.
48.
In the circumstances it is ordered:
47.1
The condition that Z[....] D[....]
(“Z[....]”) has been diagnosed with, namely Hunters
Syndrome MPS II is declared a
Prescribed Minimum Benefit (PMB)
Condition under the category 901K as listed in Annexure A of the
Regulations of the
Medical Schemes Act, 131 of 1998
.
47.2
Pending the resolution of Part B, the First
Respondent is ordered to:
47.2.1
authorize the treatment and care costs of
all medical interventions required by Z[....] and prescribed by his
treating practitioners
for Hunters Syndrome MPII as PMB level of
care, which treatment includes inter alia Elaprase, a registered
enzyme replacement therapy,
within 30 days of this order;
47.2.2
to pay accounts and\or claims for
healthcare services rendered by the treating practitioners within 30
days of presentation of the
account and\or claim thereof, in
accordance with regulation 6 of the
Medical Schemes Act, 131 of 1998
.
47.3
The First respondent is ordered to pay the
costs of the application to date.
A MILLAR
JUDGE OF THE HIGH
COURT
GAUTENG
DIVISION, PRETORIA
HEARD
ON:
23 AUGUST 2022
JUDGMENT
DELIVERED ON:
26 AUGUST 2022
This
judgment was handed down electronically by circulation to the
parties' representatives by email, by being uploaded to
the Caselines system
of the GD and by release to SAFLII.
The date and time for hand-down is deemed to be 10H00 on 26 August
2022.
COUNSEL
FOR THE APPLICANTS:
ADV. M CAJEE
ADV. H CASSIM
INSTRUCTED
BY:
HJW ATTORNEYS
REFERENCE:
MS. M HARRINGTON-JOHNSON
COUNSEL
FOR THE FIRST RESPONDENT: ADV. M MARITZ SC
INSTRUCTED
BY:
GILDENHUYS MALATJI INCORPORATED
REFERENCE:
MS. A MAHOMMED
NO
APPEARANCE FOR THE SECOND RESPONDENT
[1]
https://www.mayoclinic.org/diseases-conditions/hunter-syndrome/symptoms-causes/syc-20350706.
[2]
29
September 2017
[3]
‘
The
scope and level of minimum benefits that are to be available to
beneficiaries as may be prescribed’
[4]
‘
The
prescribed scope and level of minimum benefits to which members and
their registered dependents shall be entitled to under
the rules of
a medical scheme’
[5]
131
of 1998
[6]
Distinguishing
this matter from Council for Medical Aid Schemes and Another v
Genesis Medical Scheme and Others 2016 (1) SA 429
(SCA)
[7]
2014
(3) SA 96
(SCA) at 100J-101B; National Director of Public
Prosecutions v Zuma
[2009] ZASCA 1
;
2009 (2) SA 277
(SCA) at 290E-G
[8]
Rens
v Gutman NO and Others
2003 (1) SA 93
(C) at 99I; Body Corporate,
Shaftsbury Sectional Title Scheme v Rippert’s Estate
2003 (5)
SA 1
(C) at 6G/H – H and I
[9]
Section
28(2) of the Constitution of the Republic of South Africa provides
that a child’s best interests are paramount in
every matter
concerning the welfare of the child.
[10]
“
prevailing”
– ‘generally current or accepted’ but also
‘predominant in extent’ – The
Shorter Oxford
English Dictionary (SOED), Oxford University Press, 2007, 6
th
Edition, Volume 2, page 2340
[11]
Constitutional
Court in Minister of Police v Fidelity Security Services (Pty) Ltd
[2022]
ZACC 16
– decided on 27 May 2022;
[12]
“
Palliative
care” – from ‘palliate’ – alleviate
the symptoms of (a disease) without effecting a cure;
relieve or
ease (suffering) superficially or temporarily. SOED supra, Volume 2,
page 2079.
[13]
“
curative”
– “able or tending to cure” – SOED supra,
Volume 1, page 582
[14]
The
order sought is an interim one and is susceptible to alteration
subject to the outcome of the CMS complaint. It is accordingly
not a
final order nor, given the palliative nature of treatment with
Elaprase is it final in effect. See City of Cape Town v
South
African Human Rights Commission (144/2021) [2021] ZASCA (22 December
2021) at para 8
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