The insurance sector in Uganda has undergone significant growth and transformation over the past decade, emerging as a critical pillar in the country’s financial ecosystem. From traditional life and health policies to specialized agricultural and microinsurance products, Uganda’s insurance industry is evolving to meet the diverse needs of individuals, families, farmers, and businesses across the country.

This 2025 guide provides a comprehensive overview of the insurance landscape in Uganda, highlighting its structure, key players, product offerings, regulatory framework, and the ongoing efforts to improve public awareness and access to insurance.

1. Industry Snapshot

As of 2025, Uganda’s insurance sector is regulated by the Insurance Regulatory Authority of Uganda (IRA-U). The industry is composed of three main types of entities:

• Life insurance companies
• Non-life (general) insurance companies
• Reinsurance firms

Additionally, health maintenance organisations (HMOs), insurance brokers, loss assessors, and agents all contribute to the delivery of insurance products and services.

The sector recorded UGX 1.8 trillion in gross written premiums in 2024, marking a steady year-on-year growth driven by increased adoption of digital services, public-private partnerships, and consumer education campaigns.

2. Regulatory Framework

The industry is governed primarily by:

• The Insurance Act (Amended) 2017
• The Financial Institutions Act
• IRA Guidelines & Circulars
• Anti-Money Laundering Act
• Data Protection and Privacy Act (for digital insurance services)

The Insurance Regulatory Authority (IRA-U) oversees licensing, supervision, consumer protection, and market development. In recent years, the IRA has focused heavily on enforcing risk-based capital requirements, corporate governance standards, and claims payment performance.

3. Life Insurance in Uganda

Life insurance in Uganda continues to expand, particularly among urban professionals and salaried workers. Products range from:

• Term Life Insurance
• Whole Life Policies
• Endowment Plans
• Group Life Schemes (offered by employers)
• Funeral Cover

Most providers bundle life cover with savings or investment components, enabling long-term financial planning.

Despite steady growth, life insurance penetration remains below 1% of GDP, largely due to limited awareness and low trust among informal sector workers. Efforts to introduce micro-life insurance have begun to address these barriers.

(→ For deeper insights, see: Life Insurance in Uganda – Protecting Your Loved Ones)

4. Health Insurance

Uganda’s health insurance market has historically been underdeveloped, with most citizens relying on out-of-pocket payments for medical care. However, growing interest in affordable private health plans and the planned rollout of the National Health Insurance Scheme (NHIS) is expected to significantly shift the landscape.

Currently available health insurance options include:

• Individual & Family Plans
• Corporate Health Plans (often part of employee benefits)
• Community-Based Health Insurance (CBHI)
• HMOs (e.g. IAA, UAP-Old Mutual, AAR)

Private health insurance usage is concentrated in Kampala and other major towns, though mobile and digital platforms are helping to expand reach.

(→ See also: Health Insurance in Uganda – Affordable Options)

5. General (Non-Life) Insurance

Non-life insurance policies protect against loss or damage to property and assets. In Uganda, these are the most commonly purchased types of insurance, including:

• Motor Vehicle Insurance (mandatory third-party + optional comprehensive)
• Fire and Property Insurance
• Travel Insurance
• Personal Accident Cover
• Liability and Indemnity Insurance

Motor insurance is the dominant line of non-life business, especially since third-party cover is legally required for all registered vehicles.

(→ Explore more: Motor Vehicle Insurance in Uganda – What You Need to Know)

6. Agricultural and Livestock Insurance

Uganda’s economy remains largely agrarian, with over 65% of the population involved in farming. Agricultural insurance has emerged as a tool for de-risking farming activities and increasing access to credit for farmers.

Types of agricultural cover available:

• Crop Insurance (weather-indexed or named peril)
• Livestock Insurance
• Input/Loan-Linked Insurance
• Post-Harvest Storage Protection

Since 2016, the Uganda Agriculture Insurance Scheme (UAIS), backed by the Ministry of Finance, has subsidized premiums to make agriculture cover more accessible. Uptake is increasing through cooperatives, SACCOs, and digital agritech platforms.

(→ Learn more: Agricultural Insurance in Uganda – Supporting Farmers)

7. Microinsurance and Inclusion

To improve insurance access among low-income earners, microinsurance has gained traction. These are low-premium, simplified products delivered through:

• Mobile money platforms
• Savings groups and SACCOs
• Telco partnerships (e.g., Airtel, MTN)
• NGOs and donor-funded initiatives

Popular microinsurance products include funeral cover, hospital cash, and bundled mobile airtime insurance.

The IRA continues to promote inclusive insurance by licensing community-based distributors, encouraging product innovation, and simplifying registration requirements for microinsurers.

8. Reinsurance and Market Support

Reinsurance companies help spread risk and improve financial resilience across the sector. Key players in Uganda include:

• Uganda Reinsurance Company (Uganda Re)
• Africa Re
• Continental Re

Reinsurance is particularly critical for catastrophe events (like floods or crop failure) and large-scale industrial coverage. Uganda Re also supports local insurers through training, capital injections, and risk modeling tools.

9. Industry Challenges

Despite progress, the insurance sector faces persistent challenges:

• Low public awareness and insurance literacy
• Limited penetration in rural areas
• Delayed claims processing
• Mistrust and misconceptions about insurance
• Price undercutting and unethical competition among insurers

Addressing these issues will require stronger consumer education, faster claims settlements, better agent training, and investment in digital onboarding systems.

10. Opportunities and Future Trends (2025–2030)

Looking ahead, Uganda’s insurance market is poised for growth. Key drivers include:

• National Health Insurance rollout
• Expansion of digital and mobile insurance platforms
• Demand for agricultural resilience due to climate change
• Growth in infrastructure and SME sectors requiring commercial coverage
• Product bundling with mobile loans, savings, and health services

The IRA is also exploring regulatory sandboxes for insurtech innovation, and partnerships with banks, telcos, and fintechs are expected to unlock new customer segments.

Conclusion

Uganda’s insurance industry is maturing steadily — balancing innovation with regulation, and profit with protection. Whether it’s securing your farm, your family’s health, or your business assets, insurance is becoming an essential financial tool for Ugandans in 2025 and beyond.

As more stakeholders collaborate to bridge the access gap and build public trust, insurance will play an even greater role in Uganda’s social and economic resilience.