Insurance Business involves arrangements by which a company or the state undertakes to provide a guarantee of compensation for specified loss, damage, illness, or death in return for payment of a specified premium.
You can start insurance business in Tanzania as:
- Micro-Insurance Agent
- Insurance Broker
- Insurance Agent
- Insurance Company
- Re-insurance Broker
- Re-Insurance Company
- Loss Adjuster/Assessor
- Bancassurance Agent
- Actuarial Firm
The insurance sector continues to exhibit several opportunities for expansion and growth. These manifested through various developments including the following:
- A growing middle class which is likely to create more demand for insurance products;
- New channels of insurance distribution including mobile insurance technology for enhancement of insurance inclusiveness in the market;
- On-going efforts towards finalising the approval process for the National Insurance Policy aimed at creating a conducive environment for public-private-partnership investments in the insurance sector and specify additional classes of compulsory insurance;
- Existence of National Financial Inclusion Policy for enhancement of financial literacy in Tanzania and thus promoting a saving culture;
- Untapped Long Term Assurance market in Tanzania likely to attract new investors;
- Regional integration initiatives coupled with enhanced cross-border trading markets for Tanzania insurers;
- Implementation of regional integration treaties (EAC and SADC) for promotion of international standards in insurance regulation;
- Continued Government’s support for the insurance sector;
- Presence of Actuarial and Risk Management graduates in the local market which will improve the industry’s human capital; and
- Continued political stability creating conducive environment for investors.
Future Outlook of Tanzania Insurance Sector
The insurance sub-sector has good prospects for growth and improvement in the future, following the Government’s initiative of formulating a requisite National Insurance Policy.
Strong demand for insurance of vehicles, property, health and other insurances across Tanzania are driving the revenues of insurance companies in the country. Growing life expectancy, tax incentives on insurance products, favorable savings associated with insurance are further encouraging the customers across insurance segments.
Economic growth, rising government spending, technological innovations and increased consumer awareness about insurance products are key market drivers in Tanzania. The government’s policy of insuring the uninsured has progressively pushed the insurance penetration in Tanzania and the proliferation of insurance schemes.
The increasing number of digital distribution channels is favoring the insurers to easily obtain insurance policies. Insurtech, messaging platforms, and online sales channels are contributing to the insurance landscape in the country.
Through different distribution channels, insurance companies in Tanzania are providing a wide variety of products with varying levels of complexity that are designed for different groups of businesses, individuals and other organizations. This will provide ways to meet the emerging demands of every end-use customer and propel net sales.
Local market players in the country are focusing on marketing their competitive edge by rolling out more plans customized to diverse sectors and developing more innovative digital features.
New Developments in the Insurance Sector in Tanzania
The Tanzania Insurance Regulatory Authority (TIRA) has issued takaful guidelines to be implemented in May 2022. Insurers are now bound to comply with all requirements when marketing a takaful product and comply with Sharia law.
TIRA also introduced guidelines regarding the insurance sales force and the digitalization of the industry. These initiatives aim to improve insurance penetration and generate new jobs.
Insurance Business Opportunities in Tanzania
1. Micro-Insurance Agency Business Opportunity in Tanzania
Micro-insurance means insurance that is accessed by low-income population by which risk is insured under a policy managed based on insurance principles and funded by premiums.
Micro-insurance agent means an individual person or Company or a Non-Government Organisation (NGO), a Self-Help Group (SHG) or a Micro-Finance Institution (MFI), who is appointed by insurance registrant to act as a micro-insurance agent for distribution of micro-insurance products.
Micro-insurance product includes general micro-insurance product or life micro-insurance product, proposal form and all marketing materials in respect to them.
General micro-insurance product” means any contract covering the belongings, such as, hut, livestock, fishing gear, agricultural products, small business tools or instruments or any personal accident, either on individual or group basis.
Life micro-insurance product means any insurance contract with or without return of premium, an endowment insurance contract or health insurance contract, education, credit life, group life, family life, funeral insurance contract, with or without an accident benefit rider or accidental death only covers either on individual or group basis.
Requirements for Registration of a Micro-Insurance Agency Business
- Holder of the Ordinary Secondary Education Certificate with at least three passes including one in the English language and or holder of a Certificate of Proficiency in Insurance.
- Is a citizen and resident of Tanzania.
- Has attained the age of eighteen.
- Has not been convicted in any court in any country of an offence involving dishonesty or any other crime of a serious nature.
- Has not been adjudged insolvent or bankrupt.
- A minimum of Tshs 500,000/= to be maintained at all times.
2. Insurance Broker Business Opportunity in Tanzania
An insurance broker is a professional who represents consumers in their search for the best policy for their needs. Brokers work closely with their clients to research the client’s needs. The broker examines the terms and conditions of several options, and recommends an insurance policy that best suits the client’s needs at the best price.
Since brokers don’t represent insurance companies, they can’t bind coverage on behalf of an insurer. They must hand over the account to an insurer or insurance agent to complete the transaction.
Requirements for Registration of Insurance Broker Business in Tanzania
1. Completed Application form together with nonrefundable application fees of Tshs. 25,000/=
2. Copies of Memorandum and Articles of Association.
3. Payment of Registration and Annual fees of Tshs.2, 500,000/= and 750,000/= respectively.
4. Copy of the Certificate of incorporation of the Company in Tanzania/Certificate of registration
5. Copies of Memorandum and Articles of Association of Corporate shareholders, if any.
6. Professional Indemnity Insurance Cover with Sum Insured of Tshs. 100,000,000/= (Minimum)
7. Fidelity Guarantee Insurance Cover with Sum Insured of Tshs.50,000,000/= (Minimum)
8. Proof/Evidence of Minimum paid up share capital of Tshs. 15,900,000.M/=, in case of foreign investors, evidence of actual remittance of fund in Tanzania must be provided and at least two third of the shares should be owned by Tanzanians.
9. Particulars of Principal Officer.
- Updated CV
- Professional certificates (Minimum advanced diploma in Insurance and experience of at least three years in insurance business.
- Employment contract
- Declaration statements on solvency and good character
- Birth certificate/affidavit, in case of foreigner a copy of passport, work permit need to be submitted.
- Two passport size photographs of the principal officer
10. Particulars of Board Members of the Company. Your Board must have at least three members.
- Updated CV
- Copy of passport/Birth Certificate/Affidavit.
- Declaration statements on solvency and good character
- Work permit and copy of passports must be submitted (in case of foreigners.)
11. Particulars of Senior Management Staff(same as item No.10).
12. Attested declaration on solvency and non conviction in criminal offences of Members under 9, 10 and 11 above.
13. Valid Trading/Business license
14. Details of financial interest in other Insurance Companies, Broking firm (s) and Agencies
15. Full details of Company Auditors.
16. Particulars of your Bankers.
17. Full details of legal advisors
18. Three to five years Business Plan of the Company to include among other things, Company profile, Strategies, SWOT analysis, and the following Projected Financial statements:
- Balance sheet
- Revenue Account
- Loss and Profit Account
- Cash flow statement
19. Organization and Administrative Structure of the Company.
20. Physical address of your offices in Tanzania
21. Copy of share Certificates issued to your shareholders
22. Copy of passport for all company directors.
23. Copy of passports/birth affidavits for the company directors
3. Insurance Agency Business Opportunity in Tanzania
Insurance Agency Business is the Business of Providing Insurance Services as an Agent of Insurance Company. An insurance agent is a professional who sells an insurance company’s products to consumers for a commission. To sell insurance, an agent helps consumers select the right insurance to buy, but represents the insurance company in the transaction.
To start an insurance agency business, you need to get registered at TIRA. TIRA is Tanzania Insurance Regulatory Authority (TIRA).
Requirements for Registration of Insurance Agency Business in Tanzania
1. Completed Application form together with nonrefundable application fees of Tshs. 25,000/=
2. Copies of Memorandum and Articles of Association/Extract from Registrar.
3. Copy of the Certificate of incorporation of the Company in Tanzania/Certificate of registration.
4. Proof/Evidence of Minimum Paid up Share Capital of Tshs 1,890,000/= for agents representing one insurer, or TZS 3,780,000 M/= for multiple agents/agents representing two insurers.
5. Copy of Professional Indemnity policy of Tshs.6M/ for agents representing 1insurer, 12M/- for multiple agents/agents representing 2 insurers.
6. Particulars of Principal Officer
- CV
- Professional certificates (Minimum certificate in insurance/CoP)
- Sworn Declaration of good character and solvency.
- His/her Employment contract
- Two passport size photographs of the principal officer.
7. Particulars of Board Members of the Company.
- CV
- Copy of passport/Birth Certificate/Affidavit.
- Sworn Declaration of good character and solvency.
8. Particulars of Senior Management Staff.(same as item 6&7)
9. Attested declaration on solvency and non conviction in criminal offences of Members under 6, 7 and 8 above.
10. Valid Trading/Business license
11. Particulars of shareholding pattern
12. Particulars of your bankers.
13. Copy of passports/birth affidavits for the company directors
14. Payments of Annual Fee of Tzs.50, 000/- for agents representing insurer or 100,000/- for multiple agents /agents representing more than one principal, Registration fee of Tshs.500, 000/=.
15. Agreement letter with your insurer (Principal).
4. Insurance Company Business Opportunity in Tanzania
An entity which provides insurance is known as an insurer, an insurance company, an insurance carrier or an underwriter. Below are the registered companies as of 2022 as per TIRA website.
List of Insurance Companies in Tanzania as of 2022.
| 1 | Alliance Insurance Corporation Ltd. |
| 2 | Alliance Life Assurance Limited |
| 3 | Assemble Insurance Tanzania Limited |
| 4 | Britam Insurance Tanzania Ltd. |
| 5 | Bumaco Insurance Company Ltd |
| 6 | First Assurance |
| 7 | GA Insurance Tanzania Limited |
| 8 | The Heritage Insurance Company Tanzania Limited |
| 9 | ICEA Lion General Insurance Company (T) Limited |
| 10 | Insurance Group of Tanzania Limited |
| 11 | The Jubilee Insurance Company of Tanzania Limited |
| 12 | Jubilee Life Insurance Company Ltd. |
| 13 | Mayfair Insurance Co. Tanzania Ltd. |
| 14 | Metropolitan Tanzania Insurance Company Limited |
| 15 | Metropolitan Tanzania Life Assurance Company Limited |
| 16 | Milembe Insurance |
| 17 | MO Assurance Company Limited |
| 18 | National Insurance Corp. (T) Ltd |
| 19 | Phoenix of Tanzania Assurance Co. Ltd |
| 20 | Reliance Insurance Co. Tanzania Ltd |
| 21 | Sanlam Life Insurance (T) Limited |
| 22 | Sanlam General Insurance |
| 23 | Star General Insurance Tanzania Limited |
| 24 | Strategis Insurance (Tanzania) Limited |
| 25 | Tanzindia Assurance Company Limited |
| 26 | UAP Insurance Tanzania Limited |
| 27 | Zanzibar Insurance Corporation |
Requirements for Registration of Insurance Company in Tanzania
1. Completed Application form together with nonrefundable application fees of TZS. 25,000.00.
2. Copies of Memorandum and Articles of Association;
3. Payment of Registration and Annual fees of TZS.10.000,000.00 and 2,500,000.00 respectively;
4. Copy of the Certificate of incorporation of the Company in Tanzania/Certificate of registration;
5. Copies of Memorandum and Articles of Association of Corporate shareholders, if any;
6. Proof/Evidence of Minimum paid up share capital as per schedule of shares subscription (In case of foreign investors, evidence of actual remittance of funds in Tanzania must be provided and at least one third of shares be owned by Tanzanians) Meanwhile, the amount of paid up capital will be increasing as shown here below:
| Period | General/Life insurer (Amount in TZS.) | Non Marine insurer (Amount in TZS.) |
| Year ending 2021 | 2.172 billion | 1.086 billion |
7. Particulars of Principal Officer;
8. Particulars of Board Members of the Company. Your Board must have at least five members;
9. Particulars of Senior Management Staff. (same as item No.10);
10. Attested declaration on solvency and non-conviction in criminal offences of Members under 6, 7 and 8 above;
11. Valid Trading/Business license;
12. Details of financial interest in other Insurance Companies, Broking firm (s) and Agencies;
13. Full details of Company Auditors;
14. Particulars of your Bankers;
15. Full details of legal advisors;
16. Three to five years Business Plan of the Company to include among other things, Company profile, Strategies, SWOT analysis, and the following Projected Financial statements:
- Balance sheet;
- Revenue Account;
- Loss and Profit Account;
- Cash flow statement;
17. Organization and Administrative Structure of the Company;
18. Physical address of your offices in Tanzania;
19. Copy of share Certificates issued to your shareholders;
20. Copy of passport for all company directors;
21. Reinsurance Treaty Program indicating good securities;
22. At the renewal of License in additional to the above, the following information is required:
- Compliance with statutory returns;
- Pending issues, with other insurers, if any;
- Complaints, if any;
- Compliance with Conditional Imposed at last Registration.
23. Business Operations must commence within 12 months from the Date the license is granted.
5. Re-insurance Broker Business Opportunity in Tanzania
6. Re-Insurance Company Business Opportunity in Tanzania
7. Loss Adjuster/Assessor Business Opportunity in Tanzania
A loss adjuster is a claims specialist appointed and paid by an insurance company to investigate a complex or contentious claim on their behalf. They are responsible for establishing the cause of a loss and to determine whether it is covered by your insurance policy.
Loss Assessors are appointed by policyholders to manage a claim on their behalf. They can be called on to help with all manner of loss-related insurance claims.
Requirements for Registration of Loss Adjustor/Assessor Business in Tanzania
1. Completed Application form together with nonrefundable application fees of Tshs. 25,000/=
2. Copies of Memorandum and Articles of Association/Extract from Registrar.
3. Copy of the Certificate of incorporation of the Company in Tanzania/Certificate of registration
4. Proof/Evidence of Minimum Paid up Share Capital of Tshs 2.M/=.
5. Copy of Professional Indemnity Insurance policy of 12M/-
6. Particulars of Principal Officer
- CV
- Professional qualifications certificates as per regulation 14.
- Sworn Declaration of good character and solvency.
- Two passport size photographs of the principal officer
7. Particulars of Board Members of the Company.
- CV
- Copy of passport/Birth Certificate/Affidavit.
- Sworn Declaration of good character and solvency.
8. Particulars of Senior Management Staff.(same as item no 7)
9. Attested declaration on solvency and non conviction in criminal offences of Members under 6, 7 and 8 above.
10. Valid Trading/Business license
11. Particulars of shareholding pattern
12. Particulars of your bankers.
13. Copy of passports/birth affidavits for the company directors
14. Payments of Annual Fee of Tzs.100, 000/- and Registration fee of Tshs.1,000, 000/=.
8. Bancassurance Agent Business Opportunity in Tanzania
Bancassurance is a relationship between a bank and an insurance company that is aimed at offering insurance products or insurance benefits to the bank’s customers. In this partnership, bank staff and tellers become the point of sale and point of contact for the customer.
Bank staff are advised and supported by the insurance company through wholesale product information, marketing campaigns and sales training. The bank and the insurance company share the commission. Insurance policies are processed and administered by the insurance company.
Requirements to Register Bancassurance Agency Business in Tanzania
1. A Bancassurance agent may act for a minimum of three and a maximum of ten insurers;
2. Completed Application form together with nonrefundable application fees of Tshs.25,000/=;
3. Payments of Annual license maintenance fees of Tzs. 1,000,000/- and Registration fee of Tzs. 5,000,000/=;
4. On item 2 and 3; you will be required to be provided with Control Number(s) from TIRA for making payments of application fee, annual license maintenance and Registration Fee;
5. A resolution of the board of directors of the bank or financial institution that the bank or financial institution as the case may be may conduct Bancassurance business;
6. A letter of no objection issued by the Bank of Tanzania;
7. An agency agreement between the bank or financial institution and an insurer; The Bancassurance agency agreement between the Bancassurance agent and an insurer required under sub-regulation (3)(c) shall indicate: –
- the mode to be used to remit premium to the insurer which shall be consistent with Section 72 of the Insurance Act;
- the claims handling process to be used;
- the safeguards to be made available to the policy holders;
- the commission and fees to be charged and the mode of payment
- a schedule of the products and services to be offered;
- the procedure to be used to settle any conflict between the Bancassurance agent and an insurer;
- Modalities and frequency for reconciliation of the premiums and the other funds resulting from Bancassurance business; and
- Any other requirement as the Authority may deem fit.
8. A duly filled fit-and-proper requirements questionnaire for the Bancassurance principal officer and specified persons, prescribed in Form 3 as specified in the Second schedule of Regulations;
9. Copies of Memorandum and Articles of Association/Extract from Registrar.
10. Copy of the Certificate of incorporation of the Company in Tanzania/Certificate of registration.
11. Particulars of Principal Officer(s):-
- Updated Curriculum Vitae (CV)
- Professional certificates (Bachelor ‘s degree or its equivalent in insurance, bank, risk management, law, actuarial science, finance or related field from recognized institution) and working experience of at least three years in insurance industry
- Sworn Declaration of good character and solvency.
- Attested declaration on solvency and non-conviction in criminal offences;
- His/her Employment contract;
- Two passport size photographs of the principal officer.
12. Particulars of specified persons:-
- Updated Curriculum Vitae (CV)
- Professional certificates (Minimum certificate in insurance/CoP)
- Sworn Declaration of good character and solvency.
- Attested declaration on solvency and non-conviction in criminal offences;
- His/her Employment contract;
- Two passport size photographs of the principal officer.
13. Valid Trading/Business license;
14. Particulars of shareholding pattern;
15. Particulars of your bankers;
16. Evidence of professional indemnity insurance and fidelity insurance for the Bancassurance principal officer and the specified person
17. The branches of the bank or financial institution that are to be used by the Bancassurance agent in conducting Bancassurance business;
18. names and particulars of specified persons to be stationed at each of the branches referred to under paragraph 12 hereinabove;
19. Affidavit of each of the principal officer or specified person to the effect that they have never been adjudged bankrupt; compounded with creditors; or convicted by a court of competent jurisdiction in any country of any offence involving fraud, dishonesty or felony; and
20. Any other information that the Authority may require.
9. Actuarial Firm Business Opportunity in Tanzania
Insurance actuaries analyze the financial risk that insurance companies take when they insure their clients. They help insurance companies create and price insurance plans based on the likelihood of paying claims on a policy.
When creating policies, actuaries analyze the risk of insuring different groups of people based on their lifestyle, their health, where they live, and several other factors. Their work allows a company to offer plans that are priced in a way that still makes a profit.
Requirements to Register Actuarial Firm in Tanzania
1. Completed Application form together with nonrefundable application fees of Tshs. 25,000/= The payment should be made through control number provided by the Authority.
2. Copies of Memorandum and Articles of Association
3. Payment of Registration and Annual fees of Tshs.1, 000,000/= and 100,000/= respectively. The payment should be made through control number provided by the Authority.
4. Copy of the Certificate of incorporation of the Company in Tanzania/Certificate of registration
5. Copies of Memorandum and Articles of Association of Corporate shareholders, if any.
6. Professional Indemnity Insurance Cover with Sum Insured of Tshs. 500,000,000/= (Minimum)
7. Proof/Evidence of Minimum paid up share capital of Tshs.2,000,000/=, in case of foreign investors, evidence of actual remittance of fund in Tanzania must be provided and at least one third of the shares should be owned by Tanzanians. (accompanied with Annexure 6)
8. Particulars of Principal Officer
- CV
- Professional certificates (Minimum Bachelor of Science in Actuarial Science)
- Sworn Declaration of good character and solvency.
- His/her Employment contract
- Two passport size photographs of the principal officer.
9. Particulars of principal Actuary
- CV
- Professional certificates (Minimum Certified Actuarial Analyst, CAA)
- Sworn Declaration of good character and solvency.
- His/her employment contract
- Two passport size photographs of the principal actuary.
10. Particulars of Board Members of the Company. (At least three members).
11. Particulars of Senior Management Staff. (same as item No.10)
12. Attested declaration on solvency and non-conviction in criminal offences of Members under 9, 10 and 11 above.
13. Valid Trading/Business license.
14. Full details of Company Legal advisor.
15. Copy of passport/Birth affidavit for all company directors.
16. Particulars of your bankers.
 Kessy Juma is the founder of Miamia Trading Company (miamiatz). He is a Techpreneur with roots in accountancy. He believes that any business is good as long as it caters to the right market using the right strategy. 
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