Motor third party payment goes mobile, payment option to become compulsory
Written by Lindah Nduwumwami on November 13, 2019
Motorists can now remit their Motor Third Party premiums after the Insurance Regulatory Authority of Uganda (IRA), together with the Uganda Insurers Association (UIA) launched the Motor Third party Mobile Payment platform. The new development comes with several advantages including but not limited to improved claims process, reduced fraud cases, traceability of Motor Third Party consumption and easy enforcement of the service among others. Speaking at the launch of the new payment platform, Alhaji Kaddunabbi Ibrahim Lubega, the Chief Executive Officer of IRA said that the regulator will monitor this process to ensure that correct underwriting are done and correct premiums paid. For the start, the mobile payment platform will be done in a way that users; motor vehicle (both commercial and noncommercial) and motor cycle owners will use Mobile Money (for those on MTN), Airtel Money (for those on Airtel) and agent banking services (Centenary bank for the start) to generate a sticker reference number which they can then present to any Insurance agent to verifies the authenticity of the payment and thereafter get the sticker. According to Mr Sunday Protazio, the Director Market Development at IRA, this will not eliminate the agents but will instead be cost effective in the long run, a decision that business person have the right to choose, adding that agents just have to upgrade their game as well.