Tanzania's insurance industry created 8,964 jobs in 2025 as gross written premiums surged 68.4 per cent to 2.55 trillion shillings, according to the Tanzania Insurance Regulatory Authority's 25th Annual Insurance Market Performance Report. Total employment in the sector rose to 15,398, while the number of insurance service providers jumped from 1,741 in 2024 to 10,000 in 2025. The financial and insurance sector recorded overall growth of 15.7 per cent in 2025, up from 12.7 per cent in 2024, the Deputy Minister for Finance, Engineer Ali Munde, said when presenting the report at TIRA headquarters in Dodoma.
The sector's financial strength improved sharply. Total industry assets rose 64.7 per cent to 4.06 trillion shillings from 2.47 trillion shillings in 2024, while industry net worth more than doubled to 1.89 trillion shillings from 832.20 billion shillings. Investment assets climbed 59.3 per cent to 2.24 trillion shillings, with bank deposits making up 44 per cent of the portfolio, government securities 30.6 per cent, equities 13.5 per cent and real estate 6.8 per cent. Dr Baghayo Saqware, Commissioner of Insurance and TIRA Chief Executive Officer, said the expansion of insurers' financial capacity allows a stronger market to mobilise more capital and assume risks across the economy.
Health insurance drove much of the premium growth. Gross written premiums in health insurance climbed to 986.60 billion shillings from 187.48 billion shillings in 2024, an increase of approximately 426 per cent, accounting for 38.6 per cent of total premiums as Tanzania advances Universal Health Insurance. General insurance remained the largest category at 1.15 trillion shillings, equivalent to 44.9 per cent of the market, compared with 957.18 billion shillings a year earlier. Life insurance premiums rose to 358.80 billion shillings from 308.99 billion shillings, representing 14.1 per cent of the market. Takaful contributions increased 39.8 per cent to 6.50 billion shillings.
Despite rapid expansion, insurance penetration edged up only slightly, from 2.08 per cent to 2.11 per cent of gross domestic product. The number of individuals, policyholders and beneficiaries accessing insurance services rose 3.4 per cent to 26.8 million from 25.9 million in 2024, equivalent to 39.3 per cent of Tanzania's estimated population of 68.1 million. Dr Saqware said the sector must ensure an inclusive, efficient, fair and stable market where more Tanzanians can access appropriate cover. Total reported claims rose 120.8 per cent to 1.61 trillion shillings in 2025, from 727.7 billion shillings the previous year. Insurers paid 1.29 trillion shillings, equivalent to 80.25 per cent of reported claims, while 317.37 billion shillings remained under processing.
TIRA is pursuing stronger prudential supervision and consumer protection through digital regulatory systems, an insurance regulatory sandbox, amendments to the Insurance Act, finalisation of the National Insurance Policy, implementation of mandatory insurance requirements and an agricultural insurance scheme. Dr Saqware identified the importance of broadening access through products and distribution channels that serve people overlooked by conventional insurance, including microinsurance, agricultural cover and digital services for households, farmers and small businesses. Tanzania's wider economy grew 5.9 per cent in 2025, with gross domestic product reaching 186.10 trillion shillings, and the finance and insurance sector contributed 8.87 trillion shillings, equivalent to 4.8 per cent of GDP.