The insurance sub-sector experienced financial growth, with notable increases in assets, net worth, investments, and gross premiums written.

According to the Bank of Tanzania (BoT) financial stability report for December 2024, total assets grew from 1,697bn/- in 2022 to 2,151.8bn/- in 2023 (an increase of 26.8 percent) and further expanded to 2,339.9bn/- in 2024 (an increase of 8.7 percent). 

This expansion was driven by heightened market demand and effective strategic financial management, reflecting an accumulation of reserves and investments, strengthening the sub-sector’s financial stability.

Total net worth increased from 690.5bn/- in 2022 to 697.4bn/- in 2023 (an increase of 1.0 percent) and further expanded significantly to 847.3bn/- in 2024 (an increase of 21.5 percent), highlighting enhanced equity and financial stability.

Total investment assets increased from 1,169.7bn/- in 2022 to 1,278.3bn/- in 2023 (an increase of 9.3 percent) and further grew to 1,418.1bn/- in 2024 (an increase of 14.3 percent). This increase reflects prudent financial management, strategic asset allocation, and diversification to optimize returns while mitigating risks.

Gross premiums written increased, reflecting market expansion and enhanced consumer adoption. In 2024, total gross premiums increased by 14.3 percent, reaching 1,418.1bn/-, driven by rising demand across general insurance and life insurance.

Specifically, general insurance premiums grew by 15.7 percent in 2024 to 1,099.0bn/-, driven by increased demand in motor, health, and accident insurance. Similarly, life insurance premiums recorded strong growth, rising by 10.6 percent in 2024 to 290.5bn/-, reflecting increased awareness and adoption of life insurance products.

In 2024, motor insurance continued to lead the general insurance market, driven by its mandatory requirement and economic growth. Motor insurance premiums increased from 338.0bn/- in 2023 to 384.8bn/- in 2024. 

The insurance market share remains dominant despite declining from 35.6 percent to 35.0 percent, reflecting the faster growth of other segments.

Accident, miscellaneous, aviation, and engineering insurance recorded substantial growth. Accident insurance premiums rose from 22.6bn/- to 48.6bn/-, increasing its market share from 2.4 percent to 4.4 percent. Similarly, miscellaneous insurance surged from 17.1bn/- to 51.4bn/-, raising its share from 1.8 percent to 4.7 percent.

 Meanwhile, aviation and engineering insurance expanded significantly, with aviation premiums increasing from 50.3bn/- to 55.4bn/- (4.2 percent to 5 percent), and engineering premiums rising from 40.4bn/- to 72.2bn/- (4.3 percent to 6.6 percent), driven by infrastructure and construction growth.

Conversely, fire and health insurance saw a relative decline in market share. While health insurance premiums increased slightly from 161.0bn/- to 162.0bn/-, its market share dropped from 16.5 percent to 14.7 percent. Likewise, fire insurance premiums increased from 183.9bn/- to 189.9bn/-, leading to a market share from 19.4 percent to 17.3 percent, reflecting shifting consumer preferences.

In 2024, marine and liability insurance showed growth, with marine insurance increasing from 40.1bn/- to 55.1bn/- and liability insurance rising from 23.7bn/- to 36.3bn/-. Agricultural, energy, and travel insurance remained minimal, together holding under 2 percent of the market. Life insurance premiums grew by 10.6 percent to 290.5bn/-, driven by group life insurance, which expanded to 249.5bn/-, capturing 85.9 percent of the market. Individual life insurance fell to 40.3bn/-, and other life insurance remained small with 0.7bn/-.

The insurance sub-sector's total investments grew, driven by significant investments in government securities and diversified pooled investment vehicles. In 2024, the insurance sub-sector's total investments increased by 12.7 percent to reach 1,440.1bn/- from 1,278.3bn/-.

Government securities rose by 15 percent to 430.0bn/-, reflecting a focus on stability and liquidity, while investment pools expanded to 8.0bn/-, highlighting a shift toward diversified assets. Real estate and listed shares grew by 3 percent, maintaining portfolio stability, whereas other investment assets surged by 35 percent to 16.4bn/-, signaling increased interest in high-yield opportunities.