The local insurance sector has got a new lease of life following the launch of a family insurance policy by Societe Rwandaise d‘Assurance (SORAS). Benjamin Mbundi, the SORAS director general, said the product would increase uptake of insurance products at family level and enhance penetration.

Mbundi, however, noted that it is crucial to sensitise the public to increase awareness about the importance of insurance. He argued that more insurance uptake would mitigate risks, especially in cases of financial crisis, and create confidence in the economy.

"There are good insurance products on the market, but few people come for policies as the majority of Rwandans think insurance is not a necessity,” he pointed out.

He also challenged insurance companies to be creative and design products that solve people’s problems to attract more clients. Mbundi was speaking during the launch of SORAS’ Safe Family Life Assurance product in Kigali last week. 

Jean Chrysostome Hodari, the SORAS chief executive officer, said buying insurance policies is one of the ways to be self-reliant as envisaged by the country ’s growth strategy.

Insurance penetration stands at 2 per cent in Rwanda. The majority of the people, especially salaried workers, have health insurance premiums, which are mandatory by law.