Insurance Industry players have been urged to increasingly use alternative dispute resolution mechanisms (ADR) to save time, costs and reduce case backlog in courts.
Speaking at the 66th CEO’s Breakfast meeting organized by the Insurance Regulatory Authority of Uganda (IRA) at Kampala Serena Hotel on November 20, 2025, Justice Ocaya Thomas Ojele Rubanga, the Hon. Judge of the High Court of Uganda, Commercial Division said ADRs provide a cheaper, and faster way to resolve disputes compared to traditional litigation. He added that they also reduce the burden on the court system.
The meeting was organized under the theme: “Common Insurance Disputes received in Commercial Court, Trend, Causes and Lessons for the Sector players”
He noted that as at September 30, 2025, the Commercial Division of the High Court had a case backlog of 2,110, from the 1,878 that were filled at the time.
Of these, 27 cases with a total value of Ugx. 9.8b, were insurance-related. The total value of the entire case backlog at the court is Ugx.3.6 trillion.
He commended IRA for the Complaints Bureau and the Insurance Appeals Tribunal (IAT), part of ADR, which he said have played a big role in resolving insurance related disputes, which has led to fewer cases being filed at the court.
The IRA established a complaints Bureau to receive and resolve insurance-related complaints from the public. In the first half of 2025, the Bureau received 168 complaints, out of which, 150 complaints were successfully resolved, reflecting a resolution rate of 89%.
The IAT indicated in September this year that it had received 51 appeals since its establishment in 2022 and concluded and made decisions on 41 cases and 10 cases were at various stages of hearing.
Causes of insurance disputes
According to Justice Ocaya, the main causes of insurance-related disputes were ambiguous policies, errors in claim assessment especially undue denial of claims, allegations of policy non-compliance and exclusion clauses, disagreements over total amount of claim and delays in claim management.
Others identified were failure to comply with the dispute resolution process, incomplete/ inconsistent documentation, failure to comply with claims procedure, and lack of diligence in prosecuting suits leading to delays, objections or dismissals.
He thus advised industry players to use clear policy language to ensure clarity and reduce legal disputes, and to clearly define exclusion clauses. He also urged policyholders to ensure full disclosure of the required information and policy inception and renewal to uphold transparency and compliance.
The IRA Chief Executive Officer Alhaj Dr. Kaddunabbi Ibrahim Lubega advised insurers to ensure at all times to resolve any disagreements with policyholders so that they do not escalate to the Complaints Bureau or AIT.
“We should not have any complaint at all; the reason people buy insurance is to insure themselves against risks. When they occur, then they should be compensated,” he said.
He added: “But should there be any disagreement, then come to the Complaints Bureau. If dissatisfied with the Bureau’s decision, then go to AIT. This structured approach prevents unnecessary litigation while ensuring justice and efficiency.”