Equity Bank Uganda has reported a significant achievement in its bancassurance business, recording Shs16.13 billion in premiums during the second quarter of 2026. This performance secured the bank an 8.77 per cent market share, positioning it fourth among banks in Uganda's bancassurance sector. The bank's growth in this area was primarily driven by a substantial increase in life assurance premiums.
The growth in life assurance premiums was substantial, increasing from Shs5.73 billion in the second quarter of 2025 to Shs11.72 billion in the same period of 2026. This represents a growth of approximately 105 per cent. However, the number of life assurance policies decreased from 75,000 to 65,000 over the same period. This indicates that the bank generated more insurance income from a smaller number of life policies, suggesting a growing contribution from higher-value products.
According to James Sserumaga, Equity Bank Uganda's Head of Bancassurance, the growth in premiums was attributed to staff training, improved productivity, and increased access to insurance services through the bank's branch network, merchant channels, and digital platforms. The bank's strategy has focused on expanding insurance distribution while increasing the value generated from existing customers.
Equity Bank has also emphasized policy persistency, which measures the extent to which customers maintain their insurance policies by consistently paying premiums after signing up. Dedicated customer engagement teams have been following up with policyholders to encourage timely premium payments and renewals, helping to strengthen insurance income.
The approach reflects a broader focus on retaining customers and ensuring that insurance policies remain active, rather than concentrating solely on increasing the number of policies sold. This strategy is crucial in Uganda's insurance market, where penetration remains relatively low, creating opportunities for banks and insurers to expand access to insurance products.
For Equity Bank, life assurance has emerged as a major contributor to bancassurance growth, offsetting relatively slower performance in the non-life segment. The bank's second-quarter performance highlights the increasing importance of premium value, customer retention, and distribution efficiency in its efforts to strengthen its position in Uganda's insurance market.
Insurance providers in Uganda continue to operate in a market with relatively low penetration, creating opportunities for growth. Equity Bank's performance demonstrates the potential for banks and insurers to expand access to insurance products while improving the sustainability of their businesses.
Key points
- Equity Bank Uganda recorded Shs16.13 billion in bancassurance premiums in Q2 2026.
- Life assurance premiums increased by 105 per cent to Shs11.72 billion.
- The bank's strategy focuses on expanding insurance distribution and increasing value from existing customers.
