Insurance Sector Outlook for East Africa 2015
With the rapid expansion of East Africa’s economy, the insurance industry is on a solid footing entering 2015. It is expected that the demand for both life and non-life insurance products will continue to rise as more households join the middle income class and as the market for project risk coverages soars driven by the ongoing investment in infrastructural projects across the region. This is by no means to say the industry faces no challenges of its own. Whether it is how to maximize information fluency in the age of big data, meet moving compliance targets during a time of regulatory uncertainty or satisfying an increasingly demanding and sophisticated consumer, insurers have their hands full. In order to facilitate sustainable growth and tap into these emerging opportunities, innovation, nimbleness and collaboration will be important.
In this outlook, we strive to alert the industry to the threats and opportunities that may lie ahead, as well as offer practical suggestions for what insurers ought to do about them. However, while touching upon the general impact of the economy, we focus the bulk of our attention on more systemic, bigger-picture agenda items that are likely to have a significant effect on consumer behavior and insurer operations well beyond the year ahead.