A New Dimension in Insurance

INSURANCE PRODUCTS

9TH AUGUST, 2013

Executive Summary.............................................................................................................................2
Proposed Insurance Covers..................................................................................................................4
1.Motor Private/Motor Commercial Insurance................................................................................4
2.Professional Indemnity..................................................................................................................5
3.Domestic Package.........................................................................................................................6
4.Fire Insurance................................................................................................................................6
5.Business Interruption.....................................................................................................................7
6.‘All Risks’ Insurance.....................................................................................................................7
7.Workers Compensation.................................................................................................................8
Rate:.....................................................................................................................................................8
8.Group Personal Accident..............................................................................................................8
9.Money – Cash in Transit...............................................................................................................9
11.Burglary.......................................................................................................................................9
12.Public Liability..........................................................................................................................10
13.Electronic Equipment Insurance (Computers)..........................................................................10
14.Fidelity Guarantee.....................................................................................................................10
15.Marine.......................................................................................................................................11
16.Contractors’ All Risks Insurance..............................................................................................11
17.Contractors’ Plant and Machinery.............................................................................................12
18.Bonds Insurance........................................................................................................................12
19.Plate Glass.................................................................................................................................13
20.APA Students Accident Shield Cover.......................................................................................13

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APA INSURANCE (UGANDA) LIMITED
 Executive Summary

APA Insurance (Uganda) Limited would like to express our interest in providing a summary of
our Insurance Services.

We feel that our Insurance Services can and will experience excellent service provision
through the utilisation of our services. This is because APA Insurance (Uganda) Limited has a
wide experience in handling the entire Insurance portfolio of large, small and medium
enterprises and our claims settlement record is next to none.

For the purposes of introducing ourselves and our plans to you, we have provided a brief
summary about APA Insurance (Uganda) Limited and why we are proposing that you appoint us
as your Insurers.

ABOUT APA INSURANCE (UGANDA) LIMITED

APA Insurance (Uganda) Limited is a wholly owned subsidiary of APA Insurance Limited of
Kenya. In the past five years APA has emerged as the largest Insurer in Kenya.

BRIEF HISTORY OF THE PARENT COMPANY

APA Insurance Limited, incorporated in 2003, commenced its operation on 1st January 2004.
Born from the merger of general businesses of Apollo Insurance Company Limited and Pan
Africa Insurance Company Limited, APA Insurance Limited carries a wealth of eighty years
combined experience from the parent organizations.

Apollo Insurance Company Limited was the first locally owned insurance company, incorporated
in 1977 in Mombasa. Pan Africa Insurance Company Limited was incorporated in 1946 in
Mombasa as Indo - Africa Insurance Co Limited. It was the first insurance company to be
listed on the Nairobi Stock Exchange way back in 1964. Pan Africa Insurance Company is part
of the prestigious African Life Company of South Africa.

APA Insurance underwrites all classes of property and casualty lines including Medical
Insurance and Aviation. It has 11 offices across Kenya and employs 140 people majority of
them professionally qualified insurance practitioners.

As part of the strategic goal of being the premier underwriter in East Africa APA Insurance
has a fully owned subsidiary in Uganda, APA Insurance (Uganda) Limited and an associate
company in Tanzania - Reliance Insurance Company Limited.

VISION

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APA INSURANCE (UGANDA) LIMITED
 We are Uganda’s most respected General Insurer protecting wealth and lives.

MISSION

We put smiles on the faces of our stakeholders.

CORE VALUES

 Professionalism
 Commitment
 Integrity
 Responsiveness
 Teamwork
 Humility
 Friendliness

WHY APA INSURANCE?

- APA Insurance is well placed to provide expert and professional services to all its clients
and proving to be a New Dimension in Insurance.

- We support our clients, by keeping our promise that is, settle claims promptly

- APA offers competitive prices for their Insurance Products

- APA has a strong financial base with paid-up capital of US $ 5,000,000 and asset base of
US $ 61,250,000.

- The Company has long established re-insurance relationships with major international
reinsures and has the capacity to underwrite large risks.

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APA INSURANCE (UGANDA) LIMITED
 Proposed Insurance Covers

1.Motor Private/Motor Commercial Insurance

We believe that your personal vehicles can be damaged or stolen and for that reason, we offer
comprehensive Insurance cover under the Motor Insurance to protect the owners. The cover
includes Political Violence and Terrorism.

Risks covered
Accidental loss/damage, theft, fire, malicious damage, riots, strikes and civil commotion (which are
not politically motivated), and motor third-party liabilities.

Requirements: Vehicles to be covered together with their corresponding values

For Motor Private, the rate is 4% of the value of the vehicle.

For Motor Commercial, the rates are as below;

Ambulance 4%
Saloons, Station Wagons & Pick Ups (for commercial use only) 5%
Driving Schools 5%
Lorries, Prime Movers/Tractor Heads, Trailers & Haulers 6%
School Buses& PMO/Corporate 6%
Buses/PSV – Minibuses/Taxis, Coasters & Buses 7.5%
Tankers (Petrol, Gas, Chemical tankers) 7.5%
All Other Tankers 6%

Motorcycles rate is 10%

Third party limits will be as noted below:

Bodily Injury - Shs. 10m/=
Aggregate - Shs. 50m/=
Property Damage - Shs. 20m/=

Major exclusions
- Theft by your own employees
- Consequential Losses e.g. loss of use
- Depreciation, wear and tear, mechanical and electrical breakdown
- Damage to tyres unless the vehicle is damaged as well.
- War and related perils
- Any driver driving under the influence of Alcohol or drugs

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APA INSURANCE (UGANDA) LIMITED
2.Professional Indemnity
This Insurance Policy provides indemnity against legal liability for the consequence of alleged
errors, negligence, alleged errors, omission, erroneous omission or mistake occurring or alleged to
have occurred on the part of the assured or those acting on behalf of the assured in the services
rendered or which should have been rendered to the client.

Extensions:
- Legal costs
- Loss of Documents, data and information
- Claims preparations costs
- Extended claim reporting clause – Subject to Limitations Laws of Uganda
- Libel, slander or defamation
- Theft by guards or involving guards of the client’s property, malicious actions towards the
client by guards and damage to client’s property by guards.

Limits of Liability:
Any one incident - TBA 
Any one year - TBA    

APA can work with you to establish the limit of liability, which forms the basis of pricing for the
cover.

Major Exclusions:
- War and related risks and Terrorism
- Fines, penalties , punitive or Exemplary damages
- Liability assumed by agreement that would not otherwise attach
- Any criminal act

Rate (based on limit of liability)

Doctors 3.0%, Architects & Surveyors 2%, Others 1.5%.

3.Domestic Package
This proposal is for a Comprehensive Insurance cover for residential buildings owned by, or hired
for your executive and household contents therein against loss of and/or damage resulting from
fire, lightning, earthquake, subterranean fire, flood, storm, hurricane, impact with moving objects,
aircraft damage, riots, strikes and malicious damage, landslip, water damage, etc.

Our package also extends to cover:

- Liability for injury to third parties and damage to their property.
- Liability to compensate domestic servants.
- Loss of Golf equipment, Golfer’s liability and Breakage of Clubs
- Loss of business property.
- Loss of rent or costs of alternative accommodation.
- Pedal cycle and other equipment for domestic use.
Sections:
A - Buildings, Rate 0.125%

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APA INSURANCE (UGANDA) LIMITED
 B – Contents, Rate 0.75%
C – ‘All Risks’ 1.5%, portable items like laptops, cameras, 3%
D – Workmen Compensation (domestic servants), Rate 0.25% on 5years’ earnings
E – Owner’s Liability, Rate 0.2%
F – Occupier’s & Personal Liability e.g. occupier’s dogs, Rate 0.2%

4.Fire Insurance
We offer Fire Insurance to protect in case the building is damaged.

Risks Covered:
Fire, Lighting, Explosion, Earthquake and Subterranean fire, Storm, wind, water hail or snow, Bush
Fire, cyclone, typhoon, Hurricane, flood and Inundation.
Air craft, other aerial devices or articles dropped there from, impact damage by animals, trees or
vehicles, Leakage or discharge from fire extinguishing, installations/appliance, Subsidence and land
slip, riot, strike, civil commotion, malicious damage, accidental damage,
Bursting and overflowing of water tanks, apparatus and pipes, Leakage cover, Sprinkler leakage
cover, Landslide cover.

Requirements: Replacement value of the Buildings.

The rate is 0.125%

Major Exclusions:

- Inherent vice, wear and tear

- Collapse or cracking of the building.
- Wilful act or gross negligence.
- War, Invasion, mutiny, rebellion, revolution.
- Damage directly or indirectly by nuclear weapons material and contamination by
radioactivity.

5.Business Interruption
This Policy is recommended for protection against loss of profits following damage at the Insured
locations by fire and /or any of the Special Perils. Additionally, this policy also provides cover for
wages necessary to maintain staff during the interruption period as well as the increased costs of
working incurred to minimize loss of gross profit. It is of paramount importance that the maximum
period of interruption be assessed considering the possibility of relocating operation,
reconstruction period, and a suitable amount insured as the gross profit to obtain the benefit of
this policy.
Rate: Same as fire

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APA INSURANCE (UGANDA) LIMITED
6.‘All Risks’ Insurance
This cover is recommended for your various portable items e.g. Mobile phones, Telephone Systems,
Fax Machines, Switchboard, Fans, Office, Fittings and Equipment, etc The indemnity under this
cover is for all risks of physical loss of and/or damage including fire, theft, accidental damage and
also includes cover for the Insured items whilst being used away from the premises.

Risks covered
Against accidental physical loss or damage other than those causes excluded. Cover is extended to
include riots, strikes and civil commotion, earthquake and volcanic eruption.

Extensions:
- Power surge
- Mechanical Breakdown

Requirements: Property to be insured and the corresponding value.

Rate:
- Contents i.e. furniture, fixtures and fittings 0.75%
- Electronics e.g. computers 1%
- Portables e.g. cameras, phones, laptops, projectors, cell phones, etc 3%

Exclusions:
- Wear and tear
- Theft by or dishonesty of employees
- War and related perils
- Theft from unattended vehicles unless the property is stolen from a locked boot.

7.Workers Compensation
It is a statutory obligation for every employer to take out insurance for compensation to his
employees for death and/or permanent incapacity from accident sustained whilst at work. A
Statute to this effect was recently passed by parliament with the laws of the land mandating 60
months cover i.e. 5 years earnings for each employee for both Death and Permanent Disability. The
cover is also extended to include medical up to a limit agreeable to you.
Rate:
 Office & Administration 0.275%
 Manufacturing - non hazardous like pharmaceuticals, textile, printing & paper) 0.4%

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APA INSURANCE (UGANDA) LIMITED
  Manufacturing – hazardous like Fish processing, steel, carpentry and furniture, cement,
bottling plants 0.5%
 Construction & drivers, security guards and turn boys 0.65%

8.Group Personal Accident

Whereas the Workers’ Compensation cover provides protection for your legal liability to
compensate employees for injuries resulting from accidents at work, the Group Personal Accident
cover is a benefit policy for your employees on a 24 hour basis. The benefits payable under this
policy may be fixed as multiples of employees’ earnings or as a fixed sum per person as follows:

- Death: Capital Sum Assured.

- Permanent Disablement: Capital Sum Assured.
- Temporary Disablement: Agreed fraction of employees’ weekly earnings for a stated period
e.g. Number of weeks.
- Accidental Medical Reimbursement: Between Ushs. 500,000/= and Ushs. 1,000,000/= per
employee.
- You have the option of taking out this cover for only the Senior Members of Staff as is the
case, or for all the Members of Staff.

Rate (based on 5years’ earnings)

Office & Administration 0.3%
Manufacturing – non hazardous occupation 0.45%
Manufacturing – Hazardous occupation 0.55%

9.Money – Cash in Transit

This cover would be required for indemnity against “All Risks” of physical loss and/or damage to
money whilst in transit to and from the premises and whilst in the premises during and after
working hours.

We would require an estimate of the annual carryings and the limits of cover desired for the
various situations/circumstances to enable us tailor a suitable quote. Our cover also includes
indemnity for damage to safes following theft or attempted theft.

Rates;
Cash in transit 1.0%, Cash at premises during and after working hour 1%, cash in hands of
Authorised officials 2%, estimated annual carry 0.05%, Accompanied by a Bullion Van 0.4%,
and Value of Safe 0.5%.

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APA INSURANCE (UGANDA) LIMITED
11.Burglary
This Policy is recommended for protection against loss of movable items by theft accompanied by
violent entry into and/or exit from the premises. In view of the remote possibility of total loss by
theft of all the items at various locations in a single burglary event, we would recommend
Incorporation of the first Loss sum insured to act as the Insurers limit of liability for anyone loss
and also the maximum under the policy.

The cover can be on;

- Full Value Basis, Rate 0.5%
- First Loss Basis, Rate 1%
- Declared Value Basis, Rate 0.1%

12.Public Liability
To provide protection against your legal liability to compensate third parties for injuries and/or
damage to their property resulting from accidents or events at any premises owned, occupied,
hired or leased for your operations anywhere in the country. Our proposal also includes cover
under the following extensions subject to a limit of 10% of the General Liability Limit.

 Food and Drink Poisoning

 Use of Car parks
 Use of Sign Posts
 Loading and Unloading

Rate
Manufacturing 0.4%
Non-manufacturing 0.3%
Construction (stand alone) 1%

13.Electronic Equipment Insurance (Computers)

Noting the operational hazards to which electronic equipment is exposed, we recommend this cover
for your Computers, Air Conditioning Plant and accessories to provide indemnity for losses
resulting from:

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APA INSURANCE (UGANDA) LIMITED
 - Breakdown, actual breaking, distortion or electrical burn out whilst in use or at rest;
- Accidental damage i.e. any other sudden and unforeseen loss including fire ad lightning,
theft, earthquake, malicious damage, riots, strikes and civil commotions.

This cover would additionally provide:

- Indemnity for damage to other data carrying media e.g. diskettes, tapes and cables
resulting from any of the above perils.
- Reimbursement of additional expenses incurred to reproduce lost data and records
following damage to the Insured equipment by any of the above perils.

Rate is 1% and 3% for portable items like cell phones, laptops, cameras, projectors.

14.Fidelity Guarantee
To provide protection against loss of cash and/or Stock by fraudulent means (involving staff)
- Covers infidelity of employees/staff (theft of cash/stocks belonging to the insured by
employees/staff)
- Cover can be arranged on individual (named) basis or blanket basis

Rate:
Financial Services (Banks, Forex Bureaus, Microfinance’s, SACCOs) 4%
Distribution Channels & Sales/Purchasing Staff 4%
Others (such as offices not exposed to huge sums of money) 2.5%
Security Firms 5%

Note: For blanket covers, the above rates apply plus 50,000Ushs per employee on the
aggregate limit

15.Marine
This cover is recommended for businesses whose operations involve regular importation of Raw
Materials, Packing materials, Spares etc and/or exportation of finished products. The indemnity
provided under this policy is for “All Risks” of physical loss and/or damage to the goods whilst in
transit from one country to another.

GOODS-IN-TRANSIT INSURANCE provides similar coverage, however for inland transits e.g.
Transits/deliveries of fuel and/or lubricants within Uganda abroad trucks or trains.

This policy may be arranged on an “Open Cover” basis thereby anticipating the transits to be made
in the course of the year, subject to periodical declarations of actual transits made, or
alternatively on a “Specific” basis, where cover would only attach in respect of consignments
declared prior to transit.

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APA INSURANCE (UGANDA) LIMITED
16.Contractors’ All Risks Insurance

The policy covers the following sections:

Material Damage: This section covers any unforeseen and sudden physical loss or damage from any
cause to the property insured, other than those specifically excluded in a manner necessitating
repair or replacement up to the Limit stated in the policy. Items normally covered include contract
works, materials on site, plant and machinery, equipment also includes professional fees.

Third Party Liability:

The section indemnifies the insured up to a limit stated in the policy if legally liable to pay such
damages as below:

a) Accidental Bodily Injury or Death of Third Parties.

b) Accidental loss of or damage to property belonging to third parties occurring in direct
connection with the construction of projects and happening on or the immediate vicinity of
the site during the period of cover.
Rate
Building 0.25%
Roads 0.3%
Dams/Pipelines 0.4%
Others 0.25%
Third Party Liability Same as Material Damage Rate

17.Contractors’ Plant and Machinery

The policy covers any unforeseen and sudden physical loss or damage from any cause to the
property insured other than those specifically excluded in a manner necessitating repair or
replacement.

Rate is 0.4%

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APA INSURANCE (UGANDA) LIMITED
18.Bonds Insurance
The covers are essentially securities for performance of obligation such as:-
- Customs Bond (CB6): Guarantees payment of taxes to Customs
Rate
Up to UGX 5Billion 0.5%
Above UGX 5Billion 0.3%

- Performance Bonds: Guarantees performance of work mostly by Contractors to Principals.

This means that if the Contractor does not perform the Insurance Company (as a
Guarantor) will be called to compensate the principal up to the Bond amount.
Rate is 2%

- Advance Payment Bond: Guarantees that advance Payment Monies given to the Contractor
by the Principal shall be used exclusively for works related to the project. The Guarantee is
reduced Pro-rata with the deduction of the advance payment with the deduction of advance
payment made on the interim certificates. Failure by the Contractor to meet the obligation,
the insurance company (as Guarantor) will be called upon by the Principal for Compensation
up to the Bond Limit.
Rate is 2.5%

19.Plate Glass
Covers damage to fixed glasses as a result Fire, storm, and malicious damage
Rate 2%

20.APA Students Accident Shield Cover

Students are prone to accidents of various types. Accidents do happen when the students are
travelling, whilst at sports activities or even at the hostel. The accidents have financial
consequences to the parents. Medical Expenses, Loss of Tuitions Fees, cost of transportation etc.

Similarly accidental death or permanent disability of the supporting parent may result in the
student being unable to continue with the education.

To mitigate some of these difficulties APA INSURANCE (UGANDA) LTD has introduced this
scheme with the primary objective of supporting the students to continue with schooling for a
reasonable time.

Students Accident Insurance Cover Benefits

Benefit Table A Table B Table C Payable
Towards
Death, 3,000,000 5,000,000 10,000,000 The amount is
Permanent Total Maximum Maximum Maximum to provide for
Disability & support for the
Permanent Partial student to

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APA INSURANCE (UGANDA) LIMITED
disabilities as per continue the
attached schedules education with
medical aids
and/or
attendance.
Loss of Tuition Fee 1,000,000 2,000,000 4,000,000 Inability to
& other expenses attend school
may result in
loss of fees
paid.
Death / Permanent 4,000,000 6,000,000 20,000,000 To support the
Total Disability ( as maximum Maximum Maximum student to
defined)of continue the
Supporting Parent education even
due to accident when the
supporting
parent has died
of an accident.
Medical Expenses 500,000 1,000,000 2,000,000 To take care of
following accidental medical
injuries expenses
following
accidents
Loss of Examination 50,000 100,000 250,000 Examination
Fee Fees paid may
be lost because
of the student
not being able
to appear for
examination
following an
accident.
Transport Expenses 100,000 200,000 500,000 To take care of
to transport back
hospital/clinic/home home or to
& back following hospital and
accidents for back.
student
Funeral Expenses- 1,000,000 2,000,000 5,000,000 Payable to the
student School or the
Supporting
parent based on
who has
incurred the
expenses.
Loss of Student’s 200,000 300,000 500,000
Personal effects
including books,
clothes, etc

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APA INSURANCE (UGANDA) LIMITED
 following an accident
or fire at the school
or dormitory
Annual Premium UGX 60,000 UGX 100,000 UGX 250,000

The cover is to be obtained in the name of the school/ educational institution.

All students (without selection) need to be insured.
The supporting parents’ particulars need to be provided along with the students particulars.
The cover will be for a period of one year from the commencement and shall continue during the
vacations/ holidays.

In conclusion kindly know that we tailor make covers for all your requirements depending on
your areas of operation and types of transactions. Our prices are very reasonable with quick
and efficient services accompanied by a dedicated team well trained in the line of insurance.

We look forward to doing business with you in the near future.

THANK YOU!

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APA INSURANCE (UGANDA) LIMITED