Equity Bank Uganda has recorded significant growth in its bancassurance segment, with total premiums reaching Shs16.13 billion in the second quarter of 2026. This performance has earned the bank an 8.77 percent share of the market, positioning it fourth among banks in Uganda's bancassurance segment. The growth is attributed to a strategic shift towards higher-value products and enhanced customer engagement.
The bank's life assurance business has been a key driver of this growth, with premiums increasing from Shs5.73 billion in the second quarter of 2025 to Shs11.72 billion a year later. This represents a remarkable 105 percent growth in life assurance premiums. However, the number of life policies decreased from 75,000 to 65,000 during the same period, indicating a shift towards higher-value policies and larger customer contributions.
According to James Sserumaga, Equity Bank's Head of Bancassurance, the growth in bancassurance premiums has been supported by staff training initiatives, greater productivity, and wider access to insurance through the bank's branch network, merchant channels, and digital platforms. The bank's strategy focuses not only on acquiring new customers but also on increasing the value generated from existing policyholders.
Industry observers note that insurance providers are increasingly emphasizing premium value and policy sustainability as they seek profitability in a market where insurance penetration remains relatively low. Equity Bank has also prioritized policy persistency, with dedicated customer engagement teams following up with policyholders to encourage premium payments and renewals. This approach has contributed to stronger insurance income for the bank.
While life assurance has posted strong gains, non-life insurance premiums at Equity Bank have remained relatively stable. Premiums from this segment decreased slightly from Shs4.45 billion to Shs4.41 billion during the review period. The bank attributes this slowdown to changes in its lending portfolio, particularly the growing share of unsecured lending, which has reduced demand for certain non-life insurance products.
Despite the slight decline in non-life insurance premiums, the number of non-life policies increased from 659 to 839, indicating growing uptake although at lower average policy values. The bank is exploring ways to increase income from this segment through improved renewals, greater participation from corporate clients, and the sale of higher-value policies.
Looking ahead, Sserumaga expects future growth to come from digital channels and microinsurance products designed to serve lower-income customers. The bank is also exploring products such as micro-medical insurance as it seeks to expand insurance uptake among its broader customer base. This strategic expansion aims to further enhance Equity Bank's position in Uganda's bancassurance market.
Key points
- Equity Bank Uganda achieves 8.7% share in bancassurance market with Shs16.13 billion in premiums.
- Life assurance premiums grow 105% to Shs11.72 billion, driven by shift to higher-value products.
- Bank eyes future growth from digital channels and microinsurance products.
