The Uganda Insurance Regulatory Authority has amended the lien creation form used for placing a lien over insurers’ security deposits and has instructed insurers, reinsurers, micro insurers and health maintenance organisations to switch to the revised format and submit updated lien documentation. The revised form follows a joint review with the Bank of Uganda, which found the existing lien creation form did not provide sufficient control over withdrawals from the security deposit. The circular cites Section 37 of the Insurance Act, Cap 191 and Regulation 16(2)(c) of the Insurance (Capital Adequacy and Prudential Requirements) Regulations, 2020. By 11 June 2025, entities must submit a fully completed, signed and approved lien creation form in the revised format (through their designated primary dealers) together with the corresponding lien certificate.
Uganda Insurance Regulatory Authority 2025-05-20
Uganda Insurance Regulatory Authority revises security deposit lien form and requires updated submissions by 11 June 2025
The Uganda Insurance Regulatory Authority revised the lien creation form for insurers' security deposits after a joint review with the Bank of Uganda. The updated form aims to enhance control over withdrawals, as per Section 37 of the Insurance Act and Regulation 16(2)(c) of the Insurance Regulations, 2020. Insurers, reinsurers, micro insurers, and health maintenance organisations must adopt the new format and submit updated documentation.