Insurance cover for HIV-hit likely

11 July, 2007:

An insurance company in India is doing what others have have not dared to do. Perhaps for the first time in the country, HIV patients would stand a chance to opt for insurance coverage. A stand-alone player in the Indian insurance firmament is supposedly targeting the 5.7 million HIV-infected Indians.

Chennai-based insurance player, ‘Star Health and Allied Company Ltd’ , which is also the country’s first stand-alone health insurance company, has
submitted a proposal before the Insurance Regulatory and Development Authority (IRDA), seeking permission to launch a product to provide group insurance coverage for HIV-infected persons.

If the insurance regulator gives the nod, Star Health would fix a premium of around Rs 3,000 per-person-per-year that will provide the coverage of Rs 50,000 per person, said a report. The compensation becomes payable if an HIV patient is confirmed to be carrying AIDS.

With HIV/AIDS cases growing even after massive awareness campaigns, the social stigma that comes along with the disease is even more disturbing. Realizing that identifying affected individuals would be a tough job, as social stigma still exists, the company plans to join hands with non-government organizations and other social groups to identify HIV cases and offer insurance cover.

The Star Health initiative in providing insurance cover to HIV-infected persons is seen as a welcome step considering treatment is very expensive. The IRDA norms, however, would determine how feasible the plans are.