26 August 2003
Today's picket against HIV/AIDS discrimination by AVBOB turned into a victory picket as AVBOB announced that it has now introduced a new funeral policy, which requires no medical test and which has a repudiation period for 6 months after taking out the insurance for death due to a natural cause (including HIV/AIDS). AVBOB announced that its old funeral policies will be phased out by September 2003
AVBOB made this announcement to more than 200 picketers from the AIDS Consortium, AIDS Law Project, Black Sash, Financial Sector Campaign Coalition, South African Communist Party and the Treatment Action Campaign who had gathered in front of its Braamfontein offices in Johannesburg. . AVBOB is one of the leading funeral insurance companies in South Africa. The AVBOB statement read out at the picket is contained below.
"This is an important victory for us and concession by AVBOB. All other funeral insurance companies end unfair discrimination against people living with HIV and AIDS and their families", said Blade Nzimande, SACP General Secretary. "The AVBOB provision for a waiting period is legitimate and has precedent in medical scheme waiting periods for pre-existing conditions", said Mark Heywood of the AIDS Law Project.
In response to the AVBOB statement, the picketers replied that AVBOB management must not think that their public statement today is sufficient. AVBOB must not use the argument that they think that the new policy will lead to large numbers of people with HIV joining the scheme. The picketers replied that they will monitor the implementation of the new policy. The picketers called on AVBOB to develop an education campaign to inform all communities about the new product they are announcing today, with details of how this is different to the existing policy. The plan must include a public advertising campaign. The picketers also announced plans to picket other funeral insurance companies if they do not make public statements declaring that they have removed all discriminatory clauses relating to a person’s HIV status from their policies in the next three months.
The organisations which organised the picket also called on picketers to work with communities to build community-owned funeral co-operatives that will offer funeral services including affordable coffins, to meet the basic needs of poor communities as opposed to making a profit.
AVBOB STATEMENT, 26 August 2003, read out by Mr. Louis Lewis (AVBOB General Manager: Insurance)
1. AVBOB confirms that there is no AIDS exclusion clause contained in any of its products and although this clause was included in some of our older products and in its pricing, AVBOB has since October 2001 waived the right to execute this clause. 2. Regarding non-disclosure in respect of our existing policies, we do not repudiate claims if we suspect that the client died of HIV/AIDS. Any condition that would have had a material influence on the assessment of the risk e.g. heart problems, diabetes, high blood pressure, tuberculosis, etc. could be regarded as non-disclosure if the questions were not correctly answered. 3. At present our new product does not require any medical or non-medical questions to be answered. It does not have a disclosure clause as such. As long as the policyholder does not die within the first six months, the claim can be finalised on receipt of an official death certificate on the insured life without obtaining further information relating to the cause of death. 4. AVBOB will promote this new product and policyholder benefit, and invites current policyholders to voice any concerns or problems they may have. The staff in our client service department and call centre as well as representatives and brokers are trained and committed to advise policyholders in this regard. 5. AVBOB recognises the seriousness of the AIDS pandemic as well as our social responsibility in this regard, and within our ability we will endeavour to make funeral products and services accessible to all.
In closure, AVBOB welcomes the opportunity to work with civil society organisations or any other organisation to improve the conditions and service to all the people in South Africa, including people living with HIV/AIDS. We would also like to invite members of the AIDS Consortium to contact us directly regarding specific issues from individual policyholders.
CONTACT
Mazibuko K. Jara – SACP
E-mail: mazibuko@sacp.org.za
Ph: 011 339 3621
Mobile: 072 275 4723
Mark Heywood – AIDS Law Project
E-mail: heywoodm@law.wits.ac.za
Ph: 011 7178634
Mobile: 083 6348806
Sharon Ekambaram - AIDS Consortium
E-Mail: shasha@netactive.co.za
Ph: 012 650 0270
Cell: 0836348924
Tebogo Phadu - SA Federation of Burial Societies
Mobile: 083 601 4397