Insurance brokers assure public of improved claims payments

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The insurance industry has significantly improved claims payment over the years. This was revealed by the chairman of the Insurance Brokers Association of Uganda (IBAU), Paul Muhame.

“In the far past, we had challenges with claims payments. However, under the able authority, mentorship, and guidance of our Insurance Regulatory Authority, all this has been significantly improved,” Muhame said.

He explained that currently, when a client purchases an insurance policy from any insurer, they are compensated, provided the claim falls within the policy terms and conditions.

He, however, said that if there is any disagreement, there are measures and avenues in place where someone else can listen to your case and ensure that you get the compensation you deserve.

Muhame noted that insurance players and stakeholders are working together to increase public awareness about insurance and its benefits.

“Our role as insurance players and stakeholders is to work hand in hand to increase awareness of insurance and the value it gives to the general public. We also want to ensure that those who purchase insurance whether for life, savings, property, or liabilities, have the comfort of knowing they will be compensated and restored to their previous position in case of loss,” he added.

(L-R) Conference Convener and Chairman Edward Nambafu, Daniel Kairu and Anne Njugi Chief Operating officer ICEA interacting after addressing Journalists on the upcoming Annual conference.

Muhame described insurance brokers as vital intermediaries who bridge the gap between insurers and clients.

“As intermediaries, insurance brokers ensure that the customer remains at the centre of attention.

Muhame also highlighted the growing role of technology in the insurance sector, noting that it is helping insurers reach more people and improve efficiency.

“Technology is now part of the insurance process. It enables us to reach many people whom we would not reach through normal distribution channels. It improves outreach, whether through phones or computers, and helps insurance players and intermediaries make informed decisions through data. It also makes the entire process smoother, more transparent, and quicker,” he said.

Addressing the issue of limited trust in insurance, Muhame pointed to lack of awareness as the biggest challenge facing the sector.

“The big question is why there is limited trust. One of the challenges we have is awareness in our market. As an insurance industry, we have a lot more work to do in building awareness about the value of insurance, especially during times of need. I would say awareness is our biggest factor,” he noted.

The remarks were made as IBAU conducted a Corporate Social Responsibility (CSR) activity by donating scholastic materials worth over sh10m to pupils at Kiswa Primary School while also officially launching its Annual Conference, which will take place in Mbarara from April 22 to 24.

Daniel Kairu, the ICEA Lion Group Head of Business Development and Marketing, said the conference is expected to attract over 300 delegates, including policymakers, regulators, insurers, brokers, and business leaders.

The conference will be held under the theme: “Trust Re-imagined: Delivering on the Promise.”

Conference Convener and Chairman Edward Nambafu emphasised that building trust extends beyond the insurance sector and begins within the communities they serve.

“As an association, we recognise that building trust goes beyond the insurance sector; it begins within the communities we serve,” Nambafu said.

Joseph Nsubuga, Chief Executive Officer of MIRAI General Insurance, said their company is committed to fulfilling promises by ensuring efficient claims processing.

“We believe in delivering on our promises, and that is why we do not just tell stories when it comes to claims processing. We ensure that clients are paid within 24 hours,” Nsubuga said.

He underscored the importance of collaboration, saying that partnering with IBAU is both timely and intentional.

Receiving the scholastic materials on behalf of the school, Alice Nanvunanwa, the School Administrator of Kiswa Primary School, commended IBAU for the donation, saying the materials will help both teachers and learners in conducting research.

“This donation will help teachers and learners in carrying out research and adding value to what is taught in class,” she said.

Nanvunanwa further noted that introducing insurance knowledge to learners at an early stage would help shape future generations that understand the importance of insurance.

“If learners get awareness about insurance, they will grow up understanding its importance in their lives. They will also take the message back home to their parents, many of whom are still ignorant about insurance,” she added.