The Competition and Tariff Commission has launched an investigation into Cimas Medical Aid Society over allegations that it may be restricting competition and limiting patient choice within Zimbabwe’s health sector.
The probe follows a complaint lodged by a rival pharmacy, Belnash Investments trading as Harvey Brown Pharmacy, which alleges it was denied access to Cimas’ direct payment system, a facility that allows medical aid members to access services without paying upfront.
According to the Commission, the alleged refusal to register the pharmacy means patients are forced to pay cash for services, potentially disadvantaging both the provider and its customers.
“It is alleged that Cimas Medical Aid Society declined to register Belnash Investments trading as Harvey Brown Pharmacy as a healthcare service provider on its direct payment system,” the Commission said.
The investigation, being conducted under the Competition Act [Chapter 14:28], will assess whether the conduct amounts to a restrictive practice that distorts fair competition.
Regulators say the arrangement could have wider implications for market access and consumer welfare, particularly if patients are effectively steered toward preferred providers.
“The Commission has preliminary concerns that the alleged practice may result in members’ choice of healthcare service providers being limited,” the notice said.
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It is further alleged that Cimas operates its own pharmacy near the complainant and may be indirectly referring patients to its facilities, raising concerns over vertical integration and potential conflict of interest.
If proven, such practices could create barriers to entry for independent pharmacies, particularly those excluded from direct payment systems, which are critical for attracting insured patients.
The Commission also warned that the alleged conduct could undermine competition by favouring selected providers while excluding others from accessing a key segment of the market.
However, the regulator stressed that the investigation is still at a preliminary stage.
“It should be noted that the commencement of an investigation neither presupposes that the conduct being investigated is anti-competitive nor that Cimas Medical Aid Society has violated the provisions of the Act,” the Commission said.
The public and affected stakeholders have been invited to submit representations within 14 days to inform the inquiry.
The outcome of the investigation could have significant implications for Zimbabwe’s healthcare sector, where access to medical aid payment systems often determines both patient flow and the viability of service providers.
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