An insurance company in central China's Henan Province has launched a new policy that guarantees compensation of up to 300,000 yuan (US$37,050) in case of HIV infection.
According to the policy offered by the Henan Provincial Branch of China Taiping Life Insurance Co, policyholders will pay an annual premium of 12.9 yuan (US$1.6) to secure a 10,000 yuan (US$1,235) payout if they are infected with HIV during the year.
Each policyholder can pay up to 387 yuan (US$48) in annual premiums for a total insured amount of 300,000 yuan (US$37,050).
Taiping Life was authorized by the China Insurance Regulatory Commission in early October to launch the HIV insurance programme nationwide, said Peng Dahua, an executive with the company's Henan branch.
Peng said that, as a group insurance product, the policies are designed principally for companies, hospitals and law enforcement organizations to buy for their staff, rather than for individuals.
By the weekend no one had yet signed up to the policy, according to Peng.
The policy exempts certain groups including haemophilia patients, drug addicts, victims of nuclear radiation and those who have received blood transfusions from illegally acquired blood products, or who are infected as a result of medical malpractice.
Homosexuals are fully covered by the policy, Peng said.
Peng's company chose Henan Province for the new product because it is one of the areas of the country worst affected by HIV and AIDS, he added.
According to health department statistics, 25,036 people were confirmed HIV-positive and 11,815 developed AIDS by 2004.
(China Daily October 31, 2005)
