The insurance industry is targeting to license about 5,000 insurance agents in the next three years in a bid to increase uptake of both life and non-life insurance products.
Ibrahim Kaddunabbi Lubega, the chief executive officer at the Insurance Regulatory Authority (IRA), said efforts are being directed towards increasing insurance penetration by raising awareness.
Lubega was speaking during the opening of ICEA Life Assurance company agency offices in Kampala recently.
"As industry players, we have to be able to make insurance services readily available to all Ugandans and in simple terms. The industry has to be proactive in the way it carries out its operations," Lubega said.
He added: "Over the last few years, we have witnessed an increase in the distribution channels, such as bancassurance, which we believe will improve access to insurance services across the country." He also urged insurers to utilise other online avenues to educate the public about insurance.
Uganda has one of the lowest penetration rates of insurance in East Africa, which stands at 0.86 per cent of the GDP as of end of 2014. By the end of 2015, according to Lubega, there were more than 1,400 licensed insurance agents, up from 650 agents licenced in 2012.
Jackson Muli, the CEO of ICEA Life, said the uptake of life products has been slow due to low understanding of the products.
This is ICEA Life's third agency office in Kampala. The company has six branches across the country in the major towns of Mbarara, Gulu, Arua, Kabale, and Mbale.