As of January 1st 2017 Lion Assurance Uganda acquired the agents and some staff of AIG Uganda after a much contested bid in November 2016. AIG exited the market in December 2016 and in an effort to support the smooth transition and continuity of its service to its existing customers AIG requested interested and reputable insurance companies to bid for its business.
A meet and greet cocktail for Lion Assurance was held at the Kampala Serena hotel on the 24th February 2017. This event was an official welcome ceremony into the fold for the former agents and some staff of AIG as well as their respective clients. Also in attendance were the Board of Lion Assurance and Management as well as the Managing Director of AIG Uganda Mrs. Anna Othieno.
Speaking at the event Lion Assurance Managing Director, Mr. Newton Jazire had this to say, “This acquisition of AIG Uganda agents reflects our vision which is to become the insurer of choice for Ugandans. In a bid to increase our market share we shall be able to serve more Ugandans with high quality and innovative products”
AIG announced its exit from the Ugandan market at the end of 2016 when its New York based parent company scaled down unprofitable operations around the world so as to offer notable returns to investors. However, while AIG has blamed its woes on tough economic times both locally and globally, it appears Lion Assurance has been able to leverage its position as the local insurance partner of CHUBB. Lion Assurance is a subsidiary of Masawara Plc a jersey registered investment group. The group is listed on the AIM-London Stock Exchange with a Total equity of ± US$102million and Total Assets of ±US$290million. The group has its pan-African investment present in Botswana, Uganda and Zimbabwe & South Africa.
The acquisition of AIG agents has resulted in the former clients of AIG now renewing and buying policies from the wide array of non-Life offerings from Lion Assurance. We have also seen a significant improvement in the overall quality of agents as both parties share knowledge to improve services and service delivery to clients.
Lion Assurance is the fourth largest insurer in Uganda, controlling 7.58% of the market share (2015 market report).