In the early 2000’s, the reported growth in the rate of HIV infection in South Africa, coupled with the lack of treatment available from the public sector (and exacerbated by the costs and doubtful efficacy of privately

administered treatment), resulted in significant debate opening between the Life Officers Association and the Banking Council. In the public domain, banks and assurance companies were stridently accused of bias toward the lower-income market, based on the perception that this sector was more susceptible to HIV infection. Unfortunately, at the time there was a basis for such accusation as studies had indicated that, based on the then current inception statistics, this was indeed the case, and lenders were becoming increasingly aware of the potential of downstream credit risk based on a medical condition.

Historically this posed a problem for people who were HIV+. Against this background, in the early part of 2001, the HLGC investigated the feasibility of managing its HIV/AIDS risk through treatment.

Certain core principles were set
out at the outset, and have been extended since: