Tanzania’s Insurance Market Surges: 19.11% Growth Signals Economic Potential
Tanzania’s insurance sector experienced a remarkable 19.11 percent growth in 2024, demonstrating robust market expansion and increased financial resilience. Unaudited industry reports reveal Gross Premium Written (GPW) escalated to 1.47 trillion Tanzanian shillings, up from 1.24 trillion in the previous year.
Market dynamics showcase impressive performance, with 27 out of 30 non-life insurance companies reporting positive results. The sector’s growth is attributed to diverse insurance product offerings and strategic market entry of new companies.
One standout performer, a recently established insurance company, dramatically increased its GPW from 1.8 billion to 26.8 billion shillings, highlighting the sector’s dynamic potential. Experts note the industry is approaching its ambitious goal of achieving 5 percent insurance premium-to-GDP penetration by 2030.
Emerging trends include significant growth in life insurance, approximately seven percent in 2023, driven by individual and group product uptake. The Islamic insurance (Takaful) segment also demonstrates promising expansion in previously untapped markets.
Industry leaders project continued growth, with potential to reach 2 trillion shillings in the near term. Strategic recommendations include enhancing public-private partnerships, implementing tax incentives, and introducing mandatory insurance regulations for public buildings and marine vessels.
The current economic environment, characterized by stability and supportive regulatory frameworks, positions Tanzania’s insurance sector for sustained development and increased contribution to national economic growth.
