Stanbic, Absa take lead in bancassurance market in 2022

Stanbic Bank has continued to dominate the insurance sector with a market share of 19.38% in 2022, generating total Gross Written Premiums of Shs27.6 billion out of the industry figure of Shs143bn.

According to IRA, in 2022 the insurance industry generated gross written premiums (GWP) of UGX1.4trillion of which the bancassurance share of premiums was UGX143 billion compared to the 2021 figure of UGX103 billion.

Year-on-year, the bancassurance segment has grown by 38%, contributing 9.9% as of industry’s total premiums in 2022.

IRA figures also showed Stanbic ranking in the first position with a market share of 19.38%, after generating total GWPs of UGX27.6 billion with General Insurance taking up UGX9.5 billion while Life Insurance posted UGX18.1 billion.

Absa Bank Uganda came in second with a total GWP of UGX25.9 billion and a market share of 18.22% while in the third was Centenary Bank with GWP of UGX25.7 billion and a market share of 18.04%.

According to Dogo Singh, the Principal Insurance Officer of Stanbic Bank, innovation, staff retention, and technical capacity building are crucial in ensuring that bancassurance is effective in serving clients and improving customer satisfaction.

He said, innovation is essential in developing new products and services that meet the changing needs of customers. Staff retention is crucial in ensuring that the bank has experienced and knowledgeable staff who can provide excellent customer service. Singh said, technical capacity building is also essential in ensuring that staff has the necessary skills and knowledge to offer quality insurance services.

In the General Insurance space, Stanbic generated 13,403 stand-alone policies against an industry total of 25,646 policies which was the highest, and about 167,000 Life Insurance policies.

Through bancassurance, Stanbic Bank has been able to offer a wide range of insurance products to its customers, including motor insurance, and home insurance. The bank has also been investing in technology to improve its services, such as introduction of mobile insurance services that allow customers to purchase and manage their insurance policies through their smart phones.