Following the recent launch of the Local Marine Cargo and Goods in Transit Insurance Online System, the Uganda Insurers Association (UIA) held a Refresher training for insurers on how the Local Marine Cargo Insurance Portal works. The exercise that took place at Protea Hotel aimed at deepening insurers’ understanding of the system and foster collaboration on the implementation of mandatory Local Marine Cargo and Goods in Transit Insurance. The initiative is part of the drive to enhance the capacity of Uganda’s insurance industry to provide reliable coverage for imports, which is essential for protecting businesses and boosting the national economy.
Our Non-Life Technical Assistant, Gilbert Emojong, addressed attendees, expressing optimism in the insurance industry’s ability to manage Marine Cargo and Goods in Transit Insurance locally. He emphasized that it is key for insurers to fully understand the new system in order to serve the public efficiently. Gilbert reminded insurers that Marine Cargo and Goods in Transit Insurance must be purchased at the point of sale, not upon the arrival of goods, to avoid penalties and ensure compliance. To support seamless access by importers, he urged insurers to ensure 24/7 staff availability, which will allow importers to obtain policies promptly.
Gilbert also highlighted UIA’s collaboration with stakeholders in Uganda’s importation sector, explaining that the shift to Local Marine and Goods in Transit Insurance is anticipated to boost premiums, support insurance industry’s growth, and increase government tax revenue. He clarified that the ongoing 3-month voluntary compliance period is meant to help insurers and importers adapt smoothly to the change and the new system, after which mandatory compliance and penalties for non-compliance will be effective 1st February 2025.
Following Gilbert’s remarks, Elizabeth Musasizi, Systems Developer for the Marine Cargo Insurance Portal, guided insurers through the portal’s features. She elaborated on the insurers section of the portal whilst emphasizing that non- compliance on the side of the importer would lead to penalties. Elizabeth highlighted that importers can access marine cargo and goods in transit insurance through the public portal on the UIA website or work directly with Licensed insurers ,brokers and agents whose list is fully integrated in the seamless experience. Stressing the need for accuracy, she recommended that importers provide precise data, such as cargo arrival times, and that they should consider obtaining annual policies to simplify coverage for regular shipments. Elizabeth clarified that each certificate issued is valid for single use hence ensuring transparent & straightforward protection for each shipment.
Our CEO, Jonan Kisakye, expressed pride in the launch of Local Marine Cargo and Goods in Transit Insurance online system which he described as a significant milestone for Uganda’s insurance industry. Jonan referred to data from the African Insurance Organization Report in Africa (AIO), which values Africa’s insurance market at $68 billion, with Life Insurance holding 68% of the market share and Non-Life Insurance accounting for 22%. Noting that Uganda’s total premiums stand at around UGX 1.3 trillion, with Life Insurance making up 40% of the market, Jonan urged insurers to protect and expand the Non-Life Insurance sector. He further highlighted the importance of digital avenue to enhance public awareness, visibility and engagement, adding that promoting essential insurance products like local marine insurance is a key growth opportunity.
Jonan concluded by pointing out that the new system is designed to make insurance access simpler and more efficient for importers therefore playing a vital role in the value and distribution chains and expanding local Marine and Goods in Transit Insurance to a wider market.
UIA is committed to contributing to the success of the Local Marine Cargo and Goods in Transit Insurance system. Through our ongoing public awareness efforts, we aim to foster long-term voluntary compliance to mandatory Local Marine Insurance, to the benefit of Ugandan importers, the insurance industry & the wider economy.
