The speaker of parliament, Ms Rebecca Kadaga, noted that some of the reasons for low insurance premium and penetration is due to the low levels of awareness benefits among the population. “People can only buy insurance when they are aware of its benefits,” Ms Kadaga said in a speech read for her by the state minister for finance in charge of general duties, Mr Jachan Omach on Tuesday.
Uganda has the lowest insurance penetration levels in the East African region estimated at only 0.6 per cent compared to Kenya’s 2.68 per cent and Tanzania and Rwanda’s 1 per cent respectively.
Mr Lubega, former Butambala Member of Parliament, whose five-year term began yesterday, takes over from Ms Evelyn Nkalubo-Muwemba, who has been holding the position in an acting capacity.
Mr Lubega comes in at a time when the sub-sector is still grappling with numerous challenges including low penetration due to limited awareness and limited insurance products on the market. Other challenges include limited number of insurance professionals in the country and lack of innovative insurance products that can meet the needs of Ugandans especially in the agricultural sector.