By David Mwanje
The Uganda Insurers Association (UIA) launched the Insurance Literacy and Market Development Agenda (ILMDA), a transformative five-year strategic plan aimed at revolutionizing the country’s insurance sector yesterday at Mestil hotel. Under the theme “Insurance for All: Promoting Insurance Literacy and Building Financial Resilience for Inclusive Growth,” the event brought together industry leaders, government officials, and stakeholders to rally behind a shared vision of increasing insurance penetration and fostering financial resilience across Uganda.
Jonan Kisakye, CEO of the UIA, opened the event with a compelling presentation, highlighting the stark reality of Uganda’s insurance landscape. According to the Insurance Regulatory Authority (IRA), only 600,000 Ugandans held insurance policies by 2024, with penetration levels languishing below 0.87%. “This is a clear indication of the urgent need for enhanced insurance literacy,” Kisakye stated, emphasizing that ILMDA seeks to simplify insurance and risk management concepts to make them relatable and understandable to the public. Developed through extensive stakeholder consultations, the agenda is backed by a robust implementation plan designed to empower Ugandans to make informed financial decisions.
Kisakye underscored the public’s call for stronger partnerships between the insurance and financial sectors to rebuild trust. He invoked the rallying cry “Gwanga Mujje,” a Luganda phrase meaning “come together,” urging stakeholders to collaborate on innovative solutions to boost insurance uptake, inclusivity, and innovation. “By the end of this five-year period, we are confident Uganda will see a significant rise in insurance coverage,” he declared, setting an ambitious tone for the agenda.
Paul Muwanga, Vice Chairman of the UIA and CEO of Excel Insurance, reinforced the agenda’s significance, describing it as more than a strategy but a call to action. “Insurance literacy and market development are inseparable,” Muwanga said, stressing the need to improve service quality, expand distribution networks, and deepen penetration nationwide. He commended the technical committee’s collaborative efforts and called for firm stakeholder commitments to realize ILMDA’s vision.
Representing the Chief Guest, Mr. Ramathan Ggoobi, Permanent Secretary of the Ministry of Finance, Planning & Economic Development, Mr. Moses Kaggwa, Director of Economic Affairs, highlighted the critical role of insurance in Uganda’s economic development. Referencing the government’s 10-stronghold strategy, which prioritizes sectors like agriculture and industrialization, Kaggwa noted that insurance is vital for ensuring resilience and protection in these industries. “Promoting insurance literacy empowers citizens to make informed financial decisions,” he said, reaffirming the government’s commitment to supporting the sector. Kaggwa urged the industry to develop tailored solutions for diverse populations and extend its reach into rural communities to bridge the coverage gap.
Dr. Phocas Nyandwi, Regional Director of Africa Re, emphasized the broader African context, stating, “With greater literacy, we can break more barriers.” He reaffirmed Africa Re’s unwavering support for ILMDA and encouraged the industry to design accessible products and streamline claims processes to maximize impact. Nyandwi’s remarks underscored the potential for insurance to drive market development across the continent.
Alhajj Dr. Kaddunabbi Ibrahim Lubega, CEO of the IRA, described the launch as a milestone in the sector’s transformation. He acknowledged the persistent mistrust and lack of understanding among Ugandans, emphasizing that insurance literacy is key to empowering families and businesses to thrive financially, regardless of income. “Insurance must go beyond coverage to drive awareness and expand access, especially in underserved rural areas,” he said. Dr. Kaddunabbi praised the UIA for spearheading ILMDA and ensuring that insurance products reach those who need them most.
The launch of ILMDA marks a pivotal moment for Uganda’s insurance sector, uniting stakeholders in a shared mission to foster financial resilience and inclusivity. With the support of partners like Africa Re, consultants REEV and Fireworks, and a clear roadmap for action, ILMDA promises to reshape how Ugandans perceive and engage with insurance, paving the way for a more secure and prosperous future.
