Experts: Low trust, lack of awareness hinder growth of Uganda’s insurance sector

KAMPALA, UGANDA — Low public awareness and a lack of trust are the main reasons for the low uptake of insurance products in Uganda, despite the industry’s potential to protect livelihoods and businesses. This was the central theme of a recent workshop aimed at improving how the media reports on the sector.

According to the Uganda Insurers Association (UIA), insurance penetration in the country is less than 2% of the gross domestic product, one of the lowest rates in East Africa.

“Insurance can only be trusted if it is well understood,” said Jonan Kisakye, UIA’s chief executive officer, at the Insurance Media Workshop held in Kampala. “Unfortunately, many people still perceive it as a luxury or even as a scheme that does not deliver value.”

The workshop, titled “Bridging the Gap: Rethinking Insurance Reporting in Uganda,” brought together journalists, editors, and insurance stakeholders to discuss how the media can help correct these misconceptions.

Call for Collaboration and Localization

Kisakye urged a closer working relationship between insurers and journalists to foster public education. He stressed the importance of sharing real-life examples of successful claim payouts to build trust.

“Sharing actual cases of claims being honored not only reassures the public but also provides tangible evidence of insurance’s value,” he said.

Participants also emphasized the need to simplify and localize insurance messaging. Michael Ssebowa, an editor at Bukedde newspaper, noted that current communication is often technical and inaccessible to the average Ugandan.

“We need to simplify insurance by translating key concepts into local languages,” Ssebowa said, “If we can make it relatable and practical to the ordinary Ugandan, then the media will also give it prominence.”

Ruth Namuli, UIA chairperson, reinforced this message, highlighting the media’s power to transform public perceptions.

“Accurate and consistent media reporting has the power to transform perceptions, drive inclusivity, and ultimately increase the uptake of insurance,” she said.

Ben Mwine, representing the National Association of Broadcasters, noted that the complexity of insurance jargon and limited data often hinder accurate reporting. He called for ongoing dialogue and training to bridge the knowledge gap between the two sectors.