Government Delighted by the Establishment of 'CRDB Insurance Company'

Dar es Salaam, June 18, 2024: The Commissioner for Financial Sector Development in the country, Dr. Charles Mwamaja, has praised CRDB Bank for establishing a subsidiary insurance company, 'CRDB Insurance Company (CIC),' stating that it will significantly contribute to the government's goals of increasing insurance inclusion to 50% for Tanzanians aged 18 and above by 2030.

Dr. Mwamaja made these remarks while launching the company in the city, a year after it obtained a license to provide non-life insurance services to Tanzanians to protect them against potential calamities. Dr. Mwamaja urged CIC to leverage the extensive experience and broad reach of CRDB Bank to reach citizens, especially considering that the bank has a presence in all councils nationwide.

Representing the Minister of Finance, Dr. Mwigulu Nchemba, Dr. Mwamaja said the insurance sector in the country is still young but has great potential to serve Tanzanians if education is provided and insurance companies invest in innovative products that cater to various customer groups. This will help the nation achieve its goal of increasing insurance inclusion by 2030.

“I congratulate you for the innovation you've started with by introducing agricultural insurance in collaboration with ACRE Africa. Agriculture is a crucial sector in our economy, employing the majority of our people. If you reach the rural areas, you will greatly ease the burden on many farmers by protecting their crops and livestock, which will help provide peace of mind to farmers through this insurance. We should know that quality insurance services are fundamental to economic prosperity and an investment catalyst,” said Dr. Mwamaja.

On his part, the Commissioner of the Tanzania Insurance Regulatory Authority (TIRA), Dr. Baghayo Saqware, commended CRDB Bank for being the first financial institution in the country to establish an insurance subsidiary. Dr. Saqware said CIC will expand the insurance sector in the country, increasing the participation of Tanzanians in using insurance services.

Explaining the inclusion of insurance services in the country, Dr. Saqware said that by the end of 2023, there were 12 million insurance users, up from 6 million in 2022. Dr. Saqware stated that through the government's ongoing efforts, including the introduction of mandatory insurance regulations, inclusion is expected to double each year to meet the set goal.

“The government has also established consortia for oil and gas insurance, as well as for agriculture and livestock. I believe that the presence of companies like CIC will help achieve the goals by investing capital so that a significant portion of insurance premiums remains in the country,” said Commissioner Saqware, urging the company to invest in professional development for employees and adhere to the policies and legal principles to avoid fraud.

The Chairman of the Board of Directors, Omary Mwaimu, told Dr. Mwamaja that their goal is to make CIC the number one insurance company choice for all Tanzanians through innovative and affordable services that provide opportunities for various groups of citizens to join, thus promoting insurance inclusion in the country.

The Managing Director of CRDB Bank, Abdulmajid Nsekela, stated that the establishment of CIC is a continuation of CRDB Bank's mission to expand its range of financial services, including insurance, to Tanzanians.

Nsekela noted that this decision was driven by the low penetration of insurance services in the country, with the company focusing heavily on rural areas where many are outside the formal insurance system.

Additionally, the Managing Director of CIC, Wilson Mnzava, welcomed insurance agents, brokers, customers, and other stakeholders to utilize CIC's services, promising that they would gain peace of mind, personal stability, business stability, and economic stability during times of calamities.

CRDB Insurance Company (CIC) becomes the fourth subsidiary of CRDB Bank, following CRDB Bank Burundi, CRDB Bank DR Congo, and CRDB Bank Foundation. CIC provides non-life insurance services, including auto insurance, home insurance, motor vehicle insurance, business insurance, transportation insurance, travel insurance, construction insurance, and machinery insurance.