19 insurers licensed

Mar 04, 2007

THE Uganda Insurance Commission has licensed 19 insurance companies for this year, a source has revealed.

By Charles Bwogi

THE Uganda Insurance Commission has licensed 19 insurance companies for this year, a source has revealed.

The development comes amidst concerns that there are many insurance companies chasing after a small volume of business.

“We are talking about 19 insurance companies chasing after about sh90b worth of premium,” the source said.

The source said: “Some companies have started charging less on policy covers, which breeds a danger of failure to pay claims when they arise.”

Eighteen insurance companies were licensed to write general insurance, while six will write life insurance products.

The industry has received a new member, South African-based Liberty Life Assurance.

However, the insurance commission is conducting a study aimed at setting minimum premium rates.

The commissioner of insurance, F.F Magezi, has always urged the players to come up with new products.

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