When the AIC Scheme was introduced and implemented by the Federal Government in 1973, it provided 55% of the average boarding fee to assist rural and remote families whose children must attend boarding schools to access education.

The AIC Allowance consists of three main categories for geographically isolated students:
1) Basic Boarding Allowance (BBA) and Additional Boarding Allowance (ABA) for students boarding away from home, at a school hostel or private arrangement.
2) Second Home Allowance for students living in the family’s second home so they can attend school daily.
3) Distance Education (DE) allowance for geographically isolated students studying via a School of Distance Education.

The AIC allowances must address the out-of-pocket expenses rural and remote families face when sending their children to school via distance education, boarding schools, or by establishing a second home to access education.