Uganda’s insurance industry is undergoing a significant structural shift, with gross written premiums (GWP) surpassing the Shs1 trillion mark in the first half of 2026, driven by a sharp rise in life insurance business.
The Insurance industry GWP – the total amount of money insurance customers pay to be insured – increased by 7.68% to Shs1.094 trillion in the six months from January to June 30, 2026, up from Shs1.016 trillion recorded during the same period last year.
This is according to the performance results released by the Insurance Regulatory Authority of Uganda (IRA) Ag. Chief Executive Officer, Dr. Protazio Sande on September 09, 2026.
The growth was largely driven by the life business segment, whose premiums jumped 30.04% to Shs524.14 billion from Shs403.05 billion in the first half of 2025.
Dr. Sande said the surge in life insurance premiums more than offset a decline in the non-life segment, whose premiums declined to Shs552.93b during the period under review from Shs595.26b recorded in the corresponding period last year. He said this points to the growing importance of long-term insurance in Uganda’s market.
The life business segment premiums increased by approximately Shs121.09 billion over last year’s performance, compensating for the approximately Shs42.33 billion reduction recorded in non-life premiums. The decline in premiums from the non-life segment was attributed to the amalgamation of Jubilee Health with Jubilee Life, which changed how the business was classified.
“The narrowing gap between life and non-life insurance represents a “material structural development” in Uganda’s insurance market,” he said, adding that this trend points to growing demand for protection, savings and long-term financial-security products.
Despite the contraction, non-life remained the largest segment of the market, accounting for 50.54% of total industry premiums. Life insurance followed closely at 47.91%, highlighting just how rapidly the two segments are converging.
Health Membership Organisations (HMOs) accounted for 1.31%, while microinsurance represented 0.24% of the market.
Claims climb as premiums grow
The industry paid Shs500.13 billion in gross claims during the first half of 2026, equivalent to 45.7% of total industry GWP, with the life insurance segment accounting for the largest share of gross claims, at Shs281.03b.
Dr Sande said the Authority remains focused on ensuring that insurers promptly settle legitimate claims, arguing that premium growth must translate into meaningful protection for policyholders.
“Efficient claims settlement remains fundamental to building public confidence in insurance,” he said.
He further noted that IRA will continue monitoring claims settlement at individual company level, particularly where claims experience, complaint patterns or settlement periods point to potential weaknesses in liquidity, reserving or claims-management practices.
Microinsurance gains ground
Microinsurance also continued to grow, with premiums increasing by 27.17% to Shs2.67b from Shs2.10b in the first half of 2025 while the transition of AAR from the Health Membership Organisations business to non-life saw the contribution of this segment to GWP decline to Shs14.35b from Shs15.63b a year earlier.
Oil boom could reshape the market
Dr. Sande said the insurance sector’s outlook remains positive, with the expected commencement of commercial oil production likely to create a significant pipeline of new insurance business.
He noted that oil-related investment are expected to generate opportunities across energy, construction, engineering, marine, transport, liability, employee benefits and other commercial insurance classes.
He, however, warned that geopolitical risks in and around the Strait of Hormuz could increase the cost of insuring energy projects and related infrastructure required for commercial oil production.
For Uganda’s insurers, the coming period could therefore present both a major growth opportunity and a test of their capacity to manage increasingly complex and high-value risks.
With life insurance now accounting for nearly half of all industry premiums, the latest figures also suggest that Uganda’s insurance market is becoming more balanced—and increasingly anchored in long-term financial protection.