How insurance can navigate the changing times

OPINION

By Paul Kavuma

We congratulate the broking fraternity on this occasion of the first Annual Brokers Conference in Uganda today Friday, April 5, 2019.

This comes at the right time where as an industry we have to strive together to create awareness that will enhance our visibility and penetration.

The theme: "The Deepening Agenda: Brokers' Strategy" brings to the fore our partnership as members of both the Insurance Brokers Association of Uganda (IBAU) and the Uganda Insurers Association (UIA) to appreciate our fundamental roles aimed at providing proper risk management advice, designing customer friendly insurance programmes, proper placing of insurances risks with the right securities and most importantly, providing efficient and effective claims administration for our clients.

It would, therefore, follow from a client's perspective as well, that their expectations are high and extremely demanding and we should be seen to meet these at all times.

Both underwriters and brokers are considered risk management experts who help clients with their businesses to determine their risk profile, undertake the evaluation of those risks and identify the appropriate method of managing those risks.

Whereas exclusive, the roles to an extent, should at all times be considered mutually complementary, if we are to achieve the foregoing as the ultimate goals for our clients.

Our culture and ethos should be obvious to the client to mean, they are confident in our promise, good service pitches, clarity in information and good post-sale activities to avoid complications when it comes to claims.

We need to ponder and take stock of the evolution of technology and how we all fit in. The advent of the ever-changing digital age is reshaping the social and economic landscape of Uganda and the insurance sector has not been left behind. 

This era has come with alternative and unconventional avenues for customers to directly engage with their service providers beyond the traditional broker and agent models.

Our regulator has not hesitated to mention this several times at our fora and continues to urge us on and also implore us to innovate.

This digital interaction informs mass scale access and management of clientele at a relatively low price, it allows for piggybacking on a trusted brand, especially when engaging clients through mobile network operators.

It also makes information access and customer decision making real time. The primary objective of our clients is efficiency and effectiveness in service and with technology, premium collection and claims management are certainly simplified. 

We should now, more than before, see our mutual services and relationships leveraging on technology to ensure that our clients easily enjoy the much deserved efficiency through digital partnerships.

We should be seen to invest more in automating some if not all elements of our transactional side that should allow for more time in developing insurance advisory programmes tailor-made for our customers.

The behavioural patterns of customers now dictate this trend and, therefore, leaving no choice but to be proactive.

It is important to note that with digital technology comes the increasing gap in physical interaction with clients reducing the human face value of insurance as a service.

With the existence of hackers, viruses, tech fraud and moral hazards being a major tech hindrance, human interaction is equally important not only to minimise such vices, but also to directly tailor-make the services to the people.

Amidst this changing digital era, you our partners the brokers will surely remain a vital part of the insurance value chain and tech adaptability and human physical interaction role that you continue to play.

We once again take this opportunity as the Uganda Insurance Association to congratulate you on this calendar milestone that the industry will always look forward to annually and also wish you good deliberation in your AGM. 

The writer is CEO, Uganda Insurers Association