Somalilandsun- On the 20th October 2018 Horn of Africa Insurance was officially launched in Hargeisa, Somaliland bringing with it international standard insurance to the market.
Founded in Hargeisa and backed by some of Africa’s largest players in the insurance industry, Horn of Africa Insurance offers Auto, Property, Medical, and Marine Insurance.
Throughout the region and in Somaliland and Somalia in particular, the lack of insurance is evident and the effects are felt by many. “In Hargeisa for example if two cars are involved in an accident, it becomes a spectacle where you’ll find yourself surrounded by a crowd of 15-20 people and if you can’t pay you are either arrested or your tribe is asked to pay for damages.
However if your vehicle is insured and you are involved in an accident, you would simply inform the insurance company and they would take care of the rest including making sure your vehicle is fixed and any damages paid”, says Adan H. Abbey, President of Horn of Africa Insurance.
The launch ceremony of Horn of Africa Insurance was beautifully arranged and reminiscent of an international launch, as guests walked the “green carpet”, took photos at a designated area, and were ushered into a beautifully decorated hall where they enjoyed snacks and drinks.
The event was attended by the who’s who of Somaliland including the Minister of Foreign Affairs, Minister of Trade, Industries, and Tourism, Governor of the Central Bank, Chairman of UCID political party, as well as CEOs of some of Somaliland’s largest companies. Most vehicles in Somaliland are uninsured, and most cargo coming in to the country are uninsured.
If that cargo is damaged the owner often will have nowhere to turn. Many in Somaliland are afraid to take their children to the doctor for fear of the cost. With the introduction of international standard insurance, these services are now available at an affordable cost. It’s important for the government to support these services by passing laws and regulations related to insurance.
In most countries around the world, having car insurance is mandatory, at minimum third party liability so that the other driver is protected against an accident that you have caused. This will also bring about other much needed changes including improving road infrastructure as well as instituting mandatory vehicle inspections to ensure that only road worthy vehicles are on the streets.
Recently the Ministry of Finance introduced a directive that cargo coming into the country must be checked against their insurance to confirm that the value of those goods are listed correctly and to ensure that they are protected against damage.
This is a step in the right direction, and there’s no doubt that having international standard insurance will improve the standard of living in the country and help to attract more foreign direct investment. Horn of Africa Insurance is headquartered at State House Rd. Bada Cas (Red Sea) area in Hargeisa, Somaliland