The Insurance Regulatory Authority has called on insurance companies to embrace innovation and develop products that respond to the changing financial needs of Ugandans while making insurance more accessible.
IRA Director of Supervision Benerd Obel made the call during the launch of Old Mutual Uganda’s new motor comprehensive insurance benefit for Unit Trust customers at Nakawa Business Park in Kampala.
Obel said innovation is important in expanding financial inclusion because it can enable insurance companies to combine protection with investment and provide customers with solutions that address several financial needs.
He said motor insurance is an important component of Uganda’s insurance industry because it provides financial protection to vehicle owners and businesses against losses resulting from accidents, damage and other unforeseen events.
According to the IRA, motor insurance premiums amounted to 206 billion shillings in 2024, but dropped to 166 billion shillings in 2025.
Obel said the figures demonstrate the importance of motor insurance to the sector and the need for insurers to develop products that encourage more people to take up insurance.
He, however, cautioned insurance companies to ensure that new products comply with regulatory requirements and provide customers with clear information about their benefits, costs and associated risks.
Speaking at the launch, Old Mutual Insurance Uganda Managing Director Andrew Makumbi said the new benefit brings investment and insurance together, allowing customers to grow their wealth while accessing protection for their vehicles.
Makumbi said insurance and investment are important pillars of financial wellbeing and that the company is seeking to provide solutions that address the financial challenges faced by Ugandans.
Old Mutual Investment Group Managing Director Zacc Kisesi said customers are increasingly looking for financial products that do more than grow their savings.
He said integrating investment with insurance gives Unit Trust customers additional value and makes investment more relevant to their broader financial needs.
Old Mutual Insurance Uganda Acting General Manager Nancy Ashaba said unexpected events such as accidents can seriously affect a person’s financial plans when there is no adequate insurance protection.
She explained that people without insurance may be forced to sell income-generating assets or borrow money to meet unexpected expenses, which can undermine their long-term financial stability.
Ashaba said insurance provides a financial cushion that helps customers recover from such losses while continuing to work towards their financial goals.
The Uganda Insurers Association has also welcomed the initiative, saying combining insurance with other financial services can make insurance more accessible and encourage more Ugandans to protect their assets.
The association said comprehensive motor insurance is particularly important because it protects motorists against financial losses arising from accidents, theft, fire and other unforeseen events.
Old Mutual says Ugandans can open a Unit Trust account with an initial investment of 100,000 shillings and access a range of insurance benefits aimed at supporting wealth creation and financial protection.
