Assessment of the Level of Awareness and Perception of Motor Third Party Insurance in Kampala, Uganda


  • Juliet Namukasa Makerere University Business School, Uganda
  • Johnson Ssekakubo Makerere University Business School, Uganda
  • Bonny Bagenda Makerere University Business School, Uganda


Motor Third Party Insurance, Awareness, Perception, Insurance, Claims


The study sought to establish the level of awareness about Motor Third Party Insurance amongst motorists in Uganda and how it affected their claims. A quantitative and cross-sectional survey was adopted and data was collected using a self-administered questionnaire. Findings from the study indicate that most motorists are not aware of the procedures of motor third party insurance and very few of them seek for compensation from insurance companies. This could be because of the perception among some individuals that insurance is a form of tax and a luxury. Reasons which were given for low claim rates were; the general lack of insurance knowledge amongst the populace and the cumbersome procedures for seeking compensation. With regards to perception towards insurance, the study confirmed that there was a general negative perception towards motor third party insurance. It is recommended that education on insurance be increased, government‘s supervision of insurance operations be strengthened, and that insurance companies improve their client orientation about the use of motor third party insurance so as to redeem the negative perceptions that majority of the motorists have towards this type of insurance.