By Our Reporter
Uganda’s insurance industry has seen strong growth in recent years. According to the Insurance Regulatory Authority of Uganda (IRA), total premiums collected rose from shs 1.44 trillion in 2022 to shs 1.6 trillion in 2023, showing an 11.29% increase.
However, insurance is still not widely used in Uganda. As of 2022, only 4.5% of the population had any form of insurance coverage.
To help solve this problem, new ways of delivering insurance—like bancassurance—are helping more people access insurance. Bancassurance is a partnership where banks sell insurance products on behalf of insurance companies. This setup uses the bank’s large customer base to make insurance easier to access. In 2023, bancassurance premiums grew from shs 142.7 billion to shs 179.48 billion, a 25.77% increase.
Equity Bank Uganda has taken a lead in this effort. By offering insurance services alongside banking, Equity Bank is helping more people get insured. This supports the goal of increasing insurance use by using the existing banking system to reach people who may not have access otherwise.
To make insurance even more accessible, Equity Bank recently launched “Equi-Life”, a health insurance product aimed at supporting Uganda’s low-income earners, aka “omuntu wawansi”. With just shs 3,000 per month, a person can receive shs 50,000 per day for up to 20 days after being discharged from the hospital. This offers real financial help to the 70% of Ugandans who earn less than $2 per day.
By creating affordable and simple insurance products for different people, Equity Bank is not only improving financial inclusion but also helping to build a culture of saving and planning for risks. This is important in a country where many people still think of insurance as a cost, rather than something that protects their future.
To increase insurance coverage across Uganda, a combination of new delivery methods, affordable products, and strong partnerships is needed. Equity Bank’s work, especially through the Equity-Life product, is playing an important role in growing the insurance sector and improving Ugandans’ financial well-being and security.