The Tanzania Insurance Regulatory Authority (TIRA) has discussed the establishment of a regulatory sandbox for the insurance sector to support the safe testing of new innovations.
At a workshop on innovation in insurance last week, the Insurance Commissioner, Dr Baghayo Saqware, revealed this. He called on stakeholders in the sector to enhance innovation and the use of technology to increase access to insurance services to citizens, according to a statement released by the regulator. The workshop was organised by TIRA in collaboration with FSD Africa, a specialist development agency, and Cenfri, an independent not-for-profit development consultancy.
Dr Saqware said that innovation is no longer an option in the insurance sector but a necessity due to changing technology and customer expectations. Innovation can help reach citizens who do not have easy access to insurance services, including women, youth, small farmers, and small and medium enterprises.
However, he added that there are still challenges that hinder innovation, including the lack of innovation infrastructure, limited collaboration between insurance companies and technology providers, as well as shortcomings in the regulatory system for new technologies.
For its part, TIRA emphasised its commitment to creating a regulatory environment that will enable innovation while protecting the interests of customers and the stability of the insurance market.