Old Mutual to share R600-million HIV windfall with its customers

HIV positive South Africans are living long and fruitful lives due to the massive rollout of antiretrovirals, a fact Old Mutual did not foresee during the 1990s when they first introduced policies aimed at them.

Old Mutual now plans to pay over to its customers some of the reserves it has built up in its funeral policies.

South Africans are living longer

The life expectancy of a South African male at birth improved from 51 years in 2005 to 56 in 2014 while that of women improved from 56 in 2005 to 62 in 2014, according to the Actuarial Society of South Africa.

Statistics SA estimates male life expectancy at 59.1 years while females at birth are expected to live 63.1 years, on average.

A 15-year-old has a 30 percent chance of dying before the age of 60, according to Old Mutual, while a 40-year-old is now 15 percent less likely to die before the age of 60 than before the advent of antiretrovirals.

How much money are they releasing?

Michael Goemans, Finance Head at Old Mutual’s Mass Foundation Business, estimates there are about R600-million in reserve, ready to be released.

Goemans says Old Mutual will share the windfall by reducing premiums to new funeral policy customers and by improving cover to existing policy holders without them having to pay more for it.

Old Mutual expects 320 000 of their existing customers to benefit.

Listen to the audio for more detail.


This article first appeared on 702 : Old Mutual to share R600-million HIV windfall with its customers


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
You are dying – quite literally – for a paycheque

You are dying – quite literally – for a paycheque

Ian Mann on “Dying for a Paycheck: How Modern Management Harms Employee Health and Company Performance..." by Jeffrey Pfeffer.

Certainty for the mining sector… Aaaand it’s gone!

Certainty for the mining sector… Aaaand it’s gone!

Government is challenging a ruling on "always-empowered”. Paul Burkhardt (Bloomberg) and mining attorney Hulme Scholes comments.

Côte d'Ivoire… Wow. Just wow!

Côte d'Ivoire… Wow. Just wow!

Bruce Whitfield interviews Lee Kasumba, who is wrapping up her fact-finding mission in Côte d'Ivoire.

I still drive a 2000 Camry. I don’t like debt - Chris Schutte (Astral Foods CEO)

I still drive a 2000 Camry. I don’t like debt - Chris Schutte (Astral Foods CEO)

The Money Show’s Bruce Whitfield interviews Schutte about his attitude to money (hopes and fears, successes and failures, etc.).

Get the best bits of ‘The Money Show’ emailed to you daily, right after it ends

Get the best bits of ‘The Money Show’ emailed to you daily, right after it ends

Do you enjoy listening to Bruce Whitfield’s The Money Show, but miss it sometimes?

Why Busha Investment Group is buying Anglo American, Nedbank and Old Mutual

Why Busha Investment Group is buying Anglo American, Nedbank and Old Mutual

Anglo American, Nedbank and Old Mutual count among the hottest stocks on the Johannesburg Stock Exchange right now. Here’s why…

Popular articles
[LISTEN] 65-year-old doctor runs 200kms across Moroccan desert for birthday

[LISTEN] 65-year-old doctor runs 200kms across Moroccan desert for birthday

Aside from the muscle aches, Dr Hans Van Heerden feet also took a pounding as a result of the challenging sandy terrain.

Why many couples today are struggling with marriage

Why many couples today are struggling with marriage

Dr Eve advises that many modern couples need marriage to be a safe space for self-expression and self-actualisation.

The Big Pet Problem: Are you struggling to rent because you have pets?

The Big Pet Problem: Are you struggling to rent because you have pets?

Frustrated tenants say they're being discriminated against by landlords.

'The NPA should be ready and re-enroll the matter' - Nel on Malema prosecution

'The NPA should be ready and re-enroll the matter' - Nel on Malema prosecution

AfriForum not backing down over decision to privately prosecute Julius Malema.

Ed Dept scraps supplementary exams for matriculants

Ed Dept scraps supplementary exams for matriculants

The Department of Basic Education has announced it will do away with matric supplementary exams from 2019.

Do you feel shameful about sex?

Do you feel shameful about sex?

There are various reasons for feeling shame around sex, but it can be overcome, says sexologist Dr Marelize Swart.

Cape Town not out the woods yet even with recent rainfall

Cape Town not out the woods yet even with recent rainfall

Climate expert, Piotr Wolski, says the city will know towards the end of May whether 2018 is a good or bad year.

3 emergency numbers you should have on speed dial and how they work

3 emergency numbers you should have on speed dial and how they work

These are the emergency numbers you should have on your cellphone and this is what you must understand about how they work.