Zambia bets on insurance for climate resilience

By BUUMBA CHIMBULU in Livingstone

THE 12th Insurance Conference opened in Livingstone yesterday with renewed calls for regional cooperation and innovation, while Government pledged to strengthen disaster risk financing amid growing climate threats.

The conference is hosted by the Insurance Association of Zambia (IAZ) under the theme “Bridging Nations, Unlocking Africa’s Growth Potential.”

Secretary to the Treasury Felix Nkulukusa said Government was working with development partners to expand parametric insurance solutions to cover agricultural risks, including crop and livestock losses, to ensure timely financial support when disasters strike.

He was speaking in a speech read for him by the Accountant General Nsandi Manza.

“The initiative forms part of broader efforts to strengthen Zambia’s disaster risk financing framework in response to the growing threat of climate change and natural disasters,” he said.

Mr Nkulukusa noted that Government’s participation in regional and international risk financing programmes, coupled with efforts to promote affordable and inclusive insurance products, demonstrates its commitment to building a more resilient economy while protecting households, farmers, small businesses and other vulnerable groups from financial shocks.

The conference also heard calls for greater regional cooperation within the insurance sector.

IAZ Executive Director Nkaka Mwashika called on industry players across the continent to dismantle historical barriers and forge deep strategic partnerships to fully unlock Africa’s economic and financial potential.

Dr Mwashika emphasised that the future of the insurance sector lied in deeper collaboration, technological innovation, and cross-border synergy.

“The time has come for us to change this narrative. We must deliberately build stronger connections within our regions and across the African continent.

We must create new partnerships, develop regional insurance solutions, and foster cooperation that enables us to address shared challenges,” he said.

IAZ president Webster Twaambo challenged local insurance players to aggressively tap into regional markets and reverse the current trend of capital flight by transforming Zambia into a vibrant, competitive regional insurance hub.

Dr Twaambo said while the local industry exports about 50 percent of the business it writes through reinsurance mechanisms, there is a massive opportunity to bring the much-needed foreign exchange into the country by capturing external markets.

Pensions and Insurance Authority Chief Executive Officer Namakau Ntini challenged the local insurance sector to position itself as a key driver of continental trade and national development by aggressively embracing technological innovation and regulatory compliance.

Ms Ntini urged players to move away from traditional models and leverage digital financial platforms to bridge Africa’s vast protection gaps.

Ms Ntini highlighted several ongoing regulatory reforms designed to modernise Zambia’s insurance landscape and restore public trust.