Assessing the Demand for Microinsurance in Uganda

Publication Date: Jun 2002
Published by: MicroSave
Document Type: Paper

View this Document   Email this Document

Needs of the micro insurance markets in Uganda

This study identifies the common risks that low-income households face and their coping strategies to assess the potential demand for microinsurance in the rural and urban areas of Uganda. It aims to:

• Explore the level of satisfaction with current services provided by existing formal and informal insurance programs,
• Serve as a guide for designing microinsurance products,
• Suggest the most appropriate microinsurance products to mitigate risk effectively.

• Are prone to several risks that directly affect the level and/or sources of income and their productive assets,
• Have limited support from the formal insurance sector to manage such risks,
• Have several strategies to manage risks and crises in their households,
• Lack a sound understanding of microinsurance concepts or its advantages.

• The insurance sellers should be well informed about the insurance products,
• The design of micro insurance products should be simple and clear,
• Written material to provides product information to clients should be available,
• The income and expenditure seasonality trends of the community should be understood for designing premium schedules,
• Client needs and requirements should be borne in mind.