Kampala — National Insurance Corporation (NIC) has partnered with the Nakasero Hospital and Uganda Police Force to provide insurance cover to boda boda riders under their umbrella body, the Uganda National Boda boda Association (UNBA).
The group life insurance policy will cover the riders and their passengers in case of accidents.
Speaking at the launch of the policy in Kampala yesterday, Mr Antony Ngugi, the acting general manager NIC, said the product is tailor-made to cover both the riders and passengers.
"The objective of the policy is to reduce the number of deaths and accidents on the road because the riders will have to abide by traffic rules," he said.
Dr Steven Kasiima, the police director in charge of traffic and road safety, said there was an increase in accident cases registered by police in 2015 with cases involving boda boda riders increasing by about 15 per cent, according to a report that is yet to be released.
"On average, we record eight accidents involving boda bodas daily," he said, adding that, the cover will go a long way in saving the lives of the riders.
No formal qualifications
The boda boda industry has become a key player in the provision of jobs and a source of living for many youth.
Being a profession where no formal academic qualifications are required, many youth find a footing in the industry, sometimes even learning how to ride on the job with a passenger on board.
The repercussions for many riders involved in the accidents have become fatal leading to loss of lives not only to the rider but also the passenger.
According to the new product launched, NIC shall not only make payments for the claims made but also support rider training and public sensitisation efforts in liaison with other partners.
Mr Deus Kananura, the chairman UNBA, said there are more than 170,000 boda boda riders in Kampala alone and all registered riders will get an identification tag to show that they are insured.
This will distinguish them from the non-insured riders and also help the passengers to choose insured riders.
How it operates
The insurance policy will cost the riders Shs70,000 per year and the payment will be spread out throughout the year.
All riders under the insurance cover will be required to wear helmets, carry one passenger at a time and abide by the traffic rules and regulations.