Gov’t Rolls Out Marine Insurance for Importers
By The Public Lens
Government has set a deadline of January 2025 for importers to secure marine insurance from local insurance companies.
This move aims to reduce commodity prices, making it easier for Ugandans to purchase goods in bulk.
Ramathan Ggoobi, Permanent Secretary of the Ministry of Finance, Planning, and Economic Development, made the announcement while launching the Local Marine Cargo Insurance Portal at the Uganda Revenue Authority (URA) in Nakawa.
“Using marine insurance will lower commodity prices,” Ggoobi said, highlighting the benefits of this new requirement.
Importers will now be required to use Jubilee insurance through the Local Marine Cargo Portal. This policy ensures that importers who incur losses are compensated legally, and their items are delivered safely and securely, from purchase to final destination.
According to Alhaj Kaddunabbi Ibrahim Lubega, CEO of the Insurance Regulatory Authority of Uganda, this policy provides importers with confidence in the delivery of their goods.
Jonan Kisakye, CEO of the Uganda Insurers Association, noted that Uganda has been losing billions of shillings annually due to the lack of marine insurance.
“The marine business has been registering 32 billion shillings each year, but the business is valued at over 100 billion, implying that Uganda’s insurance industry is losing 60 billion shillings annually,” Kisakye said.
By implementing marine insurance, Uganda hopes to recover these losses and boost its development.
Benefits of Marine Insurance
– Lower Commodity Prices: Marine insurance reduces costs for importers, making goods more affordable for Ugandans.
– Legal Compensation: Importers are legally compensated for losses incurred during transportation.
– Secure Delivery: Goods are insured from purchase to final destination.
– Economic Growth: Uganda’s insurance industry stands to recover billions of lost shillings annually.
