Ms Namuli is excited by the opportunity for transformation in the insurance industry

Ruth Namuli has made history by becoming the first female chairperson of the Uganda Insurers’ Association (UIA). Business Edge caught up with her to discuss her priorities and vision.

What unique contributions do you bring to this role, and how do you plan to address the challenges facing the industry?

I feel honored to take on this role to which I bring over 17 years of experience in the Ugandan insurance market. My focus will be on building upon the achievements of my predecessors to drive insurance penetration and the overall sector growth. One of the key challenges we face is the persistently low penetration rate, which has stagnated at less than 1% for several years.

This is largely due to limited public awareness of insurance products, insufficient use of technology, and a lack of innovative product offerings. My goal is to address these issues by promoting greater awareness, leveraging digital platforms to reach more people, and fostering innovation within the sector. By embracing these strategies, we can make insurance more accessible and relevant to a broader segment of the population.

In spite of the fact that insurance penetration is low, the sector has also has seen reasonable growth over the years, reaching UGX1.4 trillion in premiums. What do you believe is the next frontier for the industry?

Like I said, the next frontier for Uganda’s insurance industry lies in embracing innovation and digitization. While we've made significant strides in terms of growth, there’s so much more we can achieve by leveraging technology to streamline our services, improve efficiency, and enhance the customer experience.

By adopting mobile platforms, online tools, and automation, we can simplify processes like claims management and product offerings, ultimately providing more dynamic, customer-focused services.

Remember, innovation isn’t just about adopting the latest technology; it’s about rethinking how we do business and finding new ways to add value to our clients. Collaboration is at the heart of this transformation. Insurers need to come together, share ideas, and pool resources to foster industry-wide innovation. Working in silos limits our potential. By collaborating, we can develop solutions that benefit everyone and position Uganda’s insurance industry for greater success.

In which particular ways do you see technology reshaping the customer experience in Uganda’s insurance sector?

Technology has the power to transform the customer experience by making insurance more accessible and transparent. For instance, mobile platforms and online tools allow customers to easily access information, purchase products, and manage their policies from the convenience of their phones.

By digitizing claims processing and policy management, we reduce the need for in-person interactions and paperwork, making it faster and more efficient for clients. This shift not only improves service delivery but also fosters trust and satisfaction, which are key to driving industry growth.

In your opinion, how important is the relationship between insurers and regulators in achieving this innovation?

The relationship with regulators is crucial. The advancements we’ve made so far in the industry have been made possible with their support. Moving forward, it will be vital to continue working closely with the regulator to ensure that our innovations align with legal and economic frameworks.

Their guidance will help us navigate the challenges of integrating new technologies and global trends, such as Environmental, Social, and Governance (ESG) principles. A strong partnership ensures the industry’s resilience and sustainability.

Speaking of ESG, why do you believe it is essential for Uganda’s insurance industry to integrate these principles?

ESG is rapidly becoming a core part of how businesses operate globally, and Uganda’s insurance sector must not be left behind. By integrating ESG principles, we can better manage risks, enhance our industry’s reputation, and tap into new growth opportunities.

It positions us to be competitive on a global scale while contributing to a more sustainable and responsible future. This is not just a trend; it’s a vital shift in how businesses must operate moving forward.

You mentioned fraud as a growing concern in the industry. What steps are being taken to address this issue?

Fraud is indeed a significant issue, with estimates suggesting that 10-25% of all claims are fraudulent. To combat this, we propose creating an e-claims database or reference bureau, similar to the credit reference bureaus used in the banking sector.

By sharing data across the industry, insurers can more accurately assess risks and reduce fraudulent claims. This initiative would protect both businesses and clients from unnecessary financial losses and help rebuild trust within the sector.

There has been an overemphasis on insurers focusing on building customer trust, especially through education. However, in your opinion, what role does customer education play in the future growth of the insurance industry?

Customer education is critical. While more Ugandans are seeking insurance services, there’s still a lack of widespread understanding about the benefits and role of insurance. Many see it merely as a transactional service, but it’s much more than that.

It’s our responsibility to educate the public on how insurance protects their future and promotes economic stability. By improving awareness, we not only increase uptake but also build a stronger, more trust-driven relationship with our customers.

Finally, what excites you most about the future of Uganda’s insurance industry?

What excites me most is the opportunity for transformation. We’re at the cusp of a new era—one defined by innovation, technology, and sustainability. The small steps we’re taking today, whether in digitizing services, integrating ESG, or educating our customers, will lead to significant milestones tomorrow.

I’m confident that with the leadership and commitment we have in place, Uganda’s insurance industry will continue to grow, evolve, and remain a vital part of the country’s economic fabric.