Regulatory developments in insurance markets across East Africa are aimed at enhancing the industry's resilience, strengthening market discipline, and improving consumer protection, leading to increased confidence in the industry, according to the global professional services firm Deloitte.
In its report titled “Africa Insurance Outlook 2026/27”, Deloitte outlined the regulatory developments taking place in several countries in the region:
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In Kenya, the Insurance Regulatory Authority (IRA) has reinforced market oversight through market conduct and claims management reforms, enhanced corporate governance requirements, cybersecurity guidance for insurers, and the continued implementation of risk-based supervision.The regulatory framework has been further strengthened by the Insurance Professionals Act, 2024, which came into effect in 2025 and introduced mandatory licensing, professional standards, continuing professional development requirements, and disciplinary oversight for insurance practitioners.
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In Uganda, the Insurance Regulatory Authority has strengthened policyholder protection through enhanced supervision under the Insurance Act and the operation of formal complaint-resolution mechanisms designed to safeguard consumer rights and improve the handling of insurance disputes and claims.
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Tanzania has continued to strengthen regulatory oversight and market supervision through reforms aimed at improving governance, compliance, innovation, and the broader development of the insurance sector, while expanding oversight across a growing number of insurance market participants and service providers.
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Ethiopia is pursuing a major modernisation of its insurance framework through a draft Insurance Proclamation currently under consultation. Proposed reforms include the establishment of an independent Ethiopian Insurance Regulatory Authority, the adoption of risk-based and macroprudential supervision, enhanced policyholder protection measures, insurer resolution mechanisms, and the gradual opening of the market to foreign investment to improve competition, efficiency, and financial stability.
Takaful
An additional emerging trend is the growing recognition of takaful (Islamic insurance) as a vehicle for expanding insurance penetration among underserved populations. Tanzania has already established a regulatory framework that accommodates Takaful operations under the supervision of the Tanzania Insurance Regulatory Authority (TIRA), supporting the development of Shariah-compliant risk protection products. Ethiopia's draft Insurance Proclamation goes a step further by formally recognising takaful and re-takaful operations, including dedicated licensing provisions and Shariah governance requirements, signalling regulatory support for the long-term development of Islamic insurance markets.