Revenue from Uganda Insurance brokers grows by sh9b
Monday, 4th April, 2011
THE insurance premium contributed by insurance brokers grew by sh9b to sh78b last year, from sh69b the previous year.
“This is a good step forward, but more work still needs to be done to improve insurance brokers’ contribution to the revenue from the insurance industry. Contribution from brokers currently stands at 38% of the industry’s total collection of sh310b,” said Latima Mukasa, the chairman of the Uganda Association of Insurance Brokers.
He added that while insurance brokers play important roles ranging from product development to advising clients on insurance policies, only a handful of Ugandans use their services.
“In Kenya, insurance brokers contribute 80% of the total premiums collected by insurance companies,” he said. He made the remarks at the annual insurance awards dinner last Thursday, where Chartis Uganda was recognised as the Insurer of the Year 2010.
Chartis was recognised for good services and a better claims settlement process. Other companies recognised included Jubilee Insurance, APA and Lion Assurance.
The commissioner of insurance, Elias Kasozi, urged the insurance industry to positioning itself to reap from Uganda’s upcoming oil sector.
“The oil sector will have linkages to other sectors and this will help widen the platform for marketing insurance,” Kasozi said.
He added that the industry has to improve its services and capacity to handle the opportunities the oil sectors will present.