KAMPALA —PostBank Uganda was recently named among the top 10 banks in life bancassurance by gross premiums in a 2021 Q1 report released by the Insurance Regulatory Authority (IRA).
Bancassurance has continued to contribute a huge percentage of non-interest revenue streams for several banks since its inception. This is in form of commission revenue from different insurance companies that they partner with.
Speaking about the bank’s performance, Frank Kalinzi, the Manager Bancassurance at PostBank Uganda, attributed the performance to the bank’s clientele base that gives PostBank a big pipeline to cross-sell insurance to bank customers.
He also noted that the favourable regulatory environment provided by the Insurance Regulatory Authority (IRA) has driven more uptake of Bancassurance in the wider population.
PostBank Uganda registered a 7.2% market share and a gross premium of UGX. 1.3Bn all from its life bancassurance products.
PostBank is in partnership with Prudential Life Assurance Company, NIC Life Assurance Uganda Ltd, UAP-OLDMUTUAL Life Assurance, CIC Africa Life Uganda Ltd and Jubilee Life Insurance Uganda Ltd to provide life insurance policies to customers.
Frank Kalinzi stressed that, “With this performance, we intend to broaden our market share even further by continuously availing tailor-made insurance products that will guarantee savings, investments or protection benefits for customers that are insured against life and indemnity for those that have non-life insurance policies.”
Commenting about the impact of the COVID-19 pandemic, Kalinzi revealed that PostBank is with working with an insurer to have a business guard insurance product that will take care of risks for SMEs that need to be protected in this fragile business environment due to the impact of the COVID-19 pandemic.
PostBank has several products that are sold over the counter on behalf of insurance companies, and these include education products like Somesa plus with UAP-OM and Pruedusave with Prudential. The bank also has credit life protection insurance, motor comprehensive, fire and burglary insurance for business owners and travel insurance for business customers.
Bancassurance is supervised by the Insurance Regulatory Authority of Uganda.