Insurance industry leaders have called for greater use of artificial intelligence, data analytics and strategic partnerships to improve customer experience, strengthen trust and expand access to insurance services.
Speaking during an industry session on the future of insurance, the executives said the sector must move away from rigid processes, broad pricing assumptions and traditional distribution methods that no longer match the needs of modern customers.
Ronald Batanda, CEO Sky Re-insurance said insurers should use data more intelligently to understand customer behaviour, improve pricing and prevent losses.
“AI and data analytics are no longer optional. They are central to how we understand customers, communicate clearly and make better business decisions,” Batanda said.
He cited an experience, where an attendant at a restaurant remembered that he did not take pineapples in his order, as an example of how customer data can improve service.
“That struck me. Someone had information about me that was important enough to improve my customer experience. That is the power of data,” he said.
Batanda criticised the insurance industry for relying on broad categories instead of detailed segmentation, saying products such as motor commercial insurance are often priced uniformly without considering differences in risk and performance.
He said insurers collect basic data such as retention ratios, cost ratios and claims data but rarely use it to create value for customers.
In another example, Batanda said a medical insurance policy premium was once increased by nearly 300 per cent after a major claim, despite years of minimal claims activity.
He said the insurer gave a take-it-or-leave-it response, prompting him to turn to a broker who eventually found another insurer.
“That experience reminded me of the critical role brokers play in the insurance ecosystem,” he said.
Batanda said the industry must use data and AI to move from routine assumptions to better customer outcomes.
Emmanuel Mwaka, CEO, ICEA Lion Life Assurance, said the sector must rethink how it distributes products, especially to younger and underserved consumers.
He noted that many insurers still depend on office-based processes and paper-based documentation, yet modern consumers increasingly interact through mobile phones and digital platforms.
“The distribution model must reflect the audience it is meant to serve,” Mwaka said.
Emmanuel Mwaka, CEO, ICEA Lion Life Assurance
He added that insurers cannot claim to target rural communities while communicating only in English or using engagement strategies that ignore local realities.
Mwaka said brokers remain a key part of the insurance distribution chain, but they must also adapt their methods to reach neglected groups.
He said effective distribution requires understanding people’s culture, language and preferences.
“You cannot effectively serve people if the individuals engaging them do not understand their language, culture or realities,” he said.
The discussion also focused on the need to humanize the insurance promise and improve trust.
Insurance leaders said the sector should shift from being purely transactional to becoming more relational and proactive in supporting customers.
They said trust is built not only when claims are paid, but also when policies are clear, claims are handled quickly and customers feel understood.
They urged insurers to simplify policy wording, reduce unnecessary requirements and review claims processes that create delays and frustration.
Ambrose Kibuuka, CEO ICEA Lion General Insurance, said the future of insurance lies in connected systems, collaboration and smarter use of data.
He said insurers should stop trying to become technology companies and instead partner with firms that already have the necessary technical expertise.
“Technology companies bring technological expertise while insurers bring underwriting expertise. When those strengths are combined effectively, the outcome is far more powerful,” he said.
Kibuuka said data is now a strategic asset and can help insurers improve underwriting accuracy, detect fraud and process claims faster.
He said collaboration between insurers, brokers, banks, telecom companies and fintechs is now essential for the industry’s continued relevance.
“The insurer of the future could very easily be a technology company. Those who fail to adapt may simply be overtaken,” he said.
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