Insurance services provided by insurers is in place to minimize the possibilities of loss or damage. But many people in Uganda and Africa in general do not yet appreciate insurance lie they should. Most pay for insurance because it is a mandatory requirement as in the case of motor insurance and it ends there. Other forms of insurance are simply a waste of time to them.
It is for this reason that brochures, adverts and even movies are being produced to cover a range of topics by the insurance industry to help to inform the public to be aware of the existence of risks, especially in business, health and in the house. A Swiss business even sponsors keep-fit facilities as a motivation to much better health.
The advancement of insurance coverage was advanced primarily by the desire to cover stuff lost at sea, But with time health and fire insurance coverage, life guarantee and a whole range of other classes were presented to meet the requirements of the day.
In current times, much greater insurance coverage has grown to cover huge assets or endeavors such the air travel and sea transport.
Well, the reason we need Insurance today and its value to the world can be summed up as follows.
It spreads out the cost of losses over all those exposed to run the risk of, rather than those who actually suffer loss, thus offering security at a minimal cost. Insurance lowers the need for individual reserve funds, thus liberating capital for efficient usage in other places.
From its own collected funds, Insurance provides governments and industry with financial venture capital. Current Government loaning is considerably underwritten by Insurance Companies who have actually purchased the treasury bonds and other government offerings.
Insurance encourages loss-prevention activities, thus helping to create a much safer society for us all. For More on the insurance industry in Uganda, particularly health insurance, please drop me a line at 0792 668138.