Uganda’ s insurance sector has one of the lowest penetrations in East Africa and companies have been aised to be more innovative to stay relevant to the market.
Maurice Amogola, a member of the Governing Council of the Insurance Institute of Uganda representing the Uganda Association of Insurance Brokers, said recently innovativeness in terms of developing insurance products should be tied to refresher courses for stakeholders.
“Our Insurance to GDP ratio ranks amongst the lowest in the world Kenya is at around 3.4% even Rwanda’s is now higher than ours. We are averaging below 1%. This therefore means that we have to develop courses for us, as stakeholders before embarking on sensitizing the public,” he aised.
Amogola was speaking during the launch of the AIG Academy of Excellence at the Insurance Institute of Uganda.
The AIG Academy is a free-of-charge organization that provides training courses in the field of Insurance and soft skills related courses in cooperation with Institute of Insurance Uganda.
General Insurance trainings are offered by the Institute of Insurance while Product Trainings are offered by AIG’s professional guidance. Other courses will include entrepreneurship and sales courses.
Mrs. Anna Othieno, the Managing Director AIG Uganda said the goal of the AIG Academy is to help distribution partners become more successful by reinforcing their knowledge in three key areas Product knowledge, technical sales skills and Career development.
“To remain relevant in the competitive and dynamic world, we must embrace continuous professional development. By improving technical skills therefore, participants will be able to serve their clients better and in the long run grow a profitable business with satisfied clients,” she said.
Othieno also explained that unlike the customary practices in the sector that are characterized by training programs organized at certain intervals or in case of need, the program was structured in such a manner that it can offer services according to an “Annual Training Schedule”, that has been prepared.
The CEO of the Insurance Regulatory Authority (IRA) of Uganda, Al Hajj Kaddunabi Ibrahim Lubega, who was the chief guest at the launch, lauded AIG for spearheading an initiative that seeks to enrich stakeholders’ in-depth knowledge of insurance.
“As the regulator of the sector, we are happy to note that the uptake of insurance products is growing. We believe that with increased awareness, we shall grow the sector to match our peers in the region. This initiative will go a long way in giving stakeholders that much needed knowledge nourishment,” he said.
The insurance industry in Uganda recorded a Compound Annual Growth Rate of 18.8% during the period 2009 – 2013 with insurance penetration also increasing to 0.675% in 2013 from 0.601% in 2009.
Analysts also expect that insurance penetration will rise to 0.731% in 2018 buoyed by a strengthening economy and rising exports.
Source : East African Business Week