Don’t compromise quality for profit, minister tells insurers

State minister for Primary Education John Chrysostom Muyingo (R) talks to Mr Ronald Zaake, the chairman Insurance Institute of Uganda governing council during the graduation . COURTESY PHOTO 

In Summary

Issue. The level of professionalism in the industry is still low.

KAMPALA. Players in the insurance industry have been cautioned against compromising quality of services in pursuit of profits.
Speaking at the Insurance Institute of Uganda (IIU) first graduation ceremony in Kampala last week, State minister for Primary Education John Chrysostom Muyingo said offering quality services and products will promote the industry and facilitate uptake of insurance products.

This, he added, will in turn boost penetration levels, which currently stand at 0.85 per cent, far below the 3.5 per cent average penetration rate in Africa.
“This insurance profession is not as vibrant as it should be and I blame it on your grandparents who instead of promoting professionalism, their attention was on making profits at the expense of the profession,” Mr Muyingo said.

He also urged players to continuously identify growth opportunities and market dynamics of the insurance industry so as to increase the penetration levels.
He further urged graduands to use the acquired skills to make a positive contribution to the industry by becoming the badly needed agents of change.
Insurance Regulatory Authority chief executive officer Ibrahim Kaddunabbi Lubega urged insurers to continuously invest in training their employees to bridge the skills gap in the country.

“To mitigate some of the challenges we are experiencing in the industry today, human capital development needs to be put at the centre stage and I would, therefore, urge all employers to develop the human capital they have by providing continuous training,” he said.
The chairman IIU governing council Ronald Zake also acknowledged lack of enough professionals in the industry ,but noted that the trainings offered at IIU will play a big role in closing the skills gap.

“As an industry, we should be seen to be professionals. Though we don’t have many skilled people in the industry, having our own courses offered by IIU locally is a step in the right direction,” he said.
The institute graduated 224 students with certificates of proficiency in insurance.

jadengo@ug.nationmedia.com