Uganda’s insurance industry grew by almost 7.7 percent in Gross Written Premiums (the money the insuring public gave to insurance companies) to 1.094 trillion shillings in just the fist six months ended June 2026.
This is more than the 1.016 trillion recorded during the same period in 2025. It is also higher that the GWP recorded for the entire year in 2020.
The Insurance Regulatory Authority of Uganda (IRA), says one of the exciting developments over the year is the growth in claims paid out, which has been their main focus in driving public trust and confidence in the industry. Insurance customers who successfully lodged claims for losses incurred were paid a total of 500.13 billion shillings, amounting to about 46 percent of the total gross written premiums.
IRA Acting Chief Executive Officer, Protazio Sande, says this has been this is a result of the ‘Zero-Tolerance” for non-payment of genuine claims, which has now put Uganda’s standing above the African average in claim payment.
The performance is based on unaudited half year returns submitted by regulated entities, including insurers, Health Membership Organisations (HMOs), specialist microinsurance companies, reinsurers and insurance intermediaries, covering the six months ended 30 June 2026.
The industry’s overall growth was driven primarily by strong expansion in Life insurance sector and bancassurance (direct insurance sales by banks) distribution channels, which more than offset the contraction recorded in non-Life insurance during the period.
Life insurance accounted for most of the claims with 281 billion shillings, while 206 billion went to non-life insurers, 12.1 billion to members of Health Membership organisations (HMOs) and 710 to micro insurers.
Life remains the strongest driver of growth of premiums, growing at 30 percent, showing that the market is maturing, according to Dr Sande, recording a total of 524.14 billion shillings.
Non-Life, which still accounts for more than half of the market registered552.9 billion shillings in GWP, but the growth of 7 percent was slower that in the previous period.
The relevance of Life dominating growth is that it is a generator of long-term capital available for financing long-term projects in the country, vital for sustainable economic growth.
Specialist micro insurance, which are basically online (mobile money) products that requite small deposits, recorded a growth rate of 27.2 percent over the six months.
Sande says this segment which recorded a grows written premium of 2.67 billion shillings, has been the main focus of the industry recently because of its importance to the masses, especially the low-income earners.
Sande appealed to small business operators and even low-income earners to embrace micro insurance because to protect their businesses and lives against disasters.
The outlook, that is over the remaining part of the year, presents even more opportunities for the sector, as the economy is poised to grow by at least 6.4 percent.
The IRA says the commercialization of the oil and gas sector, which is poised to come with new investments and growth of the construction, industrial and other sectors, is expected to lead to the more sources of premiums for the insurance industry, according to Sande-URN. Give us feedback on this story through our email: kamwokyatimes@gmail.com
