Uganda: Guidelines to Allow Banks Sell Insurance Out Soon

Jul 03, 2017 | The Monitor; All Africa

Regulations that allow commercial banks to sell insurance products - Bancassurance - will be out this month, Insurance Regulatory Authority (IRA) has said.

Mr George Okotha, the director operations at IRA, told insurance and bank representatives on Wednesday that the regulations had been finalised. "Bancassurance regulations will come out next month - July 2017. There has been a lot of input from all the stakeholders in the industry. We expect to begin licensing financial institutions as soon as the regulations come into force," Mr Okotha said at the Bancassurance forum. The regulations form the operationalisation of the Financial Institutions (Amendment) Act 2016, which allows banks to act as agents of insurance companies and start selling insurance products. Boosting uptake The decision to amend the Act to include bancassurance was made to increase insurance uptake in the country that is at a paltry 0.85 per cent of Gross Domestic Product. In the regulations, banks will be allowed to enter into agreements with any number of insurance companies to sell their insurance products. Read more on All Africa. Source: All Africa