New regulation in Uganda "no premium, no insurance cover"
As of January 1st, 2019, Ugandan insurance companies will apply the new regulation "No premium, No insurance cover". The objective of this initiative is to strengthen the measures that have been established in order to reform the insurance sector.
Insurers are now required to collect the premium before issuing any insurance contract. This is a legal provision introduced by the 2017 insurance legislation according to which any holder of an insurance policy must pay the full premium no later than the date of inception of the policy or the date of its renewal.
As a reminder, Uganda recorded a 12.7% premium increase in the first nine months of 2018.
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