Four years since Bancassurance was first introduced in Uganda, experts say the concept is gaining ground and soon every bank customer will also have a life insurance cover attached to their account.
The Principal Officer in charge of Bancassurance at Diamond Trust Bank Uganda, Fred Baguma says the future of Bancassurance in Uganda is bright and that every bankable client shall have a life insurance cover in addition to bank account.
“Signing up for this service is done at any of the DTB branches where there is a bancassurance specified officer well equipped to walk you through the product. One would require a valid national identity card and for as less as 152,000 UGX, you are eligible for a life insurance cover with guaranteed maturity benefit of 11,400,000 UGX after five years subject to consistent premium payment.”
The DTB is one of the banks authorized [ by Insurance Regulatory Authority] to carry out bancassurance business in Uganda effective 1st January 2020.
Bancassurance is the provision of insurance (assurance) products by a bank. The usage of the word picked up as banks and insurance companies merged and banks sought to provide insurance, especially in markets that have been liberalized recently.
In Uganda bancassurance has been accepted and is actually highly encouraged one the bank in question has gotten a license from IRA to conduct bancassurance business. This service is convenient in the sense that it’s a one stop center for bank customers enabling them to access insurance services.
Insurance and its advantages have over the years been echoed and Ugandans have slowly embraced insurance and go ahead to secure policies that will in a way or two safeguard them from different calamities.
Diamond Trust Bank is one of the banks licensed by IRA to conduct Bancassurance business and it has partnered with leading insurers in Uganda like ICEA Life Insurance, Jubilee Life insurance, Jubilee General Insurance Company, MUA Insurance Company, Alliance Africa General Insurance Company.