Sanlam General Insurance is currently in discussions with American Insurance Group (AIG) with a view to taking over the latter’s business in Uganda.
In February 2021, AIG insurance announced that it would cease operations in Uganda in 2023. It said it would continue serving its existing clients and would not take on new ones until it exits.
And now it has emerged that AIG and Sanlam are in talks over the takeover, according to the Insurance Regulatory Authority of Uganda (IRA).
“Following a strategic decision to wind-up business operations in Uganda, AIG is currently operating on a run-off basis by continuing to service existing policyholders without taking on new business,” a statement by IRA reads in part.
“AIG now intends to transfer its run-off non-life insurance business to Sanlam General, subject to agreeing the final commercial and structural terms of the transfer and the approval of the Insurance Regulatory Authority of Uganda,” it adds.
The proposed transfer of its non-life insurance business to Sanlam General is in accordance with Part VIII of the Insurance Act 2017.