By Business Insider Reporter
Tanzania’s insurance industry has been challenged to move beyond its traditional role of providing financial protection and position itself as a strategic enabler of the country’s long-term economic transformation under Dira 2050.
The call emerged from Tanzania Insurance Day 2026, whose main conference was held on June 26 at the PAPU International Conference Centre in Arusha under the theme, “From Policy to Practice: Aligning Regulation, Policies & Taxation for a Sustainable Insurance Market.”
The conference, organised by the Insurance Institute of Tanzania (IIT), brought together insurers, regulators, government officials, financial-sector players, professional advisers and other stakeholders to address structural and policy constraints affecting the industry.
The conference was officiated by Treasury Deputy Permanent Secretary Joshua Nsubili, who represented Dr Natu Mwamba, Permanent Secretary in the Ministry of Finance (Treasury).
For Mr Khamis Suleiman, Chairperson of the Insurance Day Organising Committee, the significance of the event lies in turning insurance into a stronger pillar of Tanzania’s development agenda.
“Insurance should be regarded as an important enabler of Dira 2050 rather than simply another financial service,” Mr Suleiman told Business Insider in an interview.
He said that as Tanzania expands infrastructure, industrialisation, agriculture, trade and investment, insurance must provide the risk-transfer mechanisms needed to protect productive assets, support investment and enable businesses to take calculated risks.
The 2026 edition sought to move Insurance Day beyond discussion and networking towards concrete action on constraints facing the industry. The post-conference process consolidated 21 action items into five priority deliverables, with institutional responsibilities and timelines attached.
The first priority is market discipline and pricing, including expediting the Minimum Rating Order, curbing undercutting and continuing the review of broker commission rates in line with ICP 18, the international supervisory standard covering the governance and oversight of insurance intermediaries.
The second is tax reform, focusing on cash-versus-accrual taxation, VAT on non-vatable commissions and statutory timelines for responses to VAT decreasing adjustments. The action plan assigns this engagement to the Association of Tanzania Insurers (ATI), Tanzania Revenue Authority (TRA) and Tanzania Insurance Brokers Association (TIBA).
The third priority is a foreign-currency framework, including development of a business case to the Bank of Tanzania for commercially justified exemptions that would allow USD-denominated insurance policies where appropriate.
The fourth focuses on board competence and governance, including mandatory COP certification and insurance-governance training for directors. The fifth seeks to strengthen actuarial capacity and implementation of IFRS 17, with the standard positioned not only as a compliance requirement but also as a tool for better pricing and product development.
Taxation, pricing and regulation featured prominently in the conference discussions, reflecting their direct impact on the competitiveness and sustainability of the insurance market. The participation of TIRA, TRA, the Bank of Tanzania and the Ministry of Finance also provided a platform for closer government-regulator-industry engagement.
Mr Suleiman said improving insurance penetration would require the industry to develop affordable and relevant products, expand innovative distribution channels and improve customer experience, particularly for households, MSMEs, farmers, women, youth and informal-sector operators.
Technology, he added, would be increasingly important in improving efficiency and oversight, with initiatives including TIRA-BoT real-time supervisory data integration and greater automation of claims management expected to strengthen the market.
The key test, however, will be implementation. Stakeholders proposed a time-bound task force, monthly working sessions, clearly assigned responsibilities and deadlines, a unified P1–P5 implementation tracker and quarterly reporting to industry and financial-sector forums.
According to Mr Suleiman, the broader message of Insurance Day 2026 was closely aligned with the ambitions of Dira 2050: Tanzania needs an insurance industry that goes beyond compensating for losses after risks materialise and instead actively supports investment, safeguards productive assets, strengthens businesses and households, and builds resilience as the economy transforms. “Insurance Day 2026 was not an endpoint. It was a commitment to move from policy to practice, and the real measure of success will be delivery,” he said.
