Rwanda: Kagame promises “swift action” to heavy Moto Taxi insurance premiums
President Paul Kagame has promised motorbike taxi operators a quick and permanent solution to their hefty insurance bills, a problem that has plagued the industry for months.
Kagame was speaking on Thursday, August 25, the first day of his citizen awareness tour where he met more than 50,000 residents who had gathered in Ruhango district, Southern Province.
His promise was a reaction to a question from a certain Pierre Bizimana, a motorcycle taxi operator based in Ruhango district.
When the time came for Bizimana to personally pose a question to President Kagame, he pleaded that motorists are supported to bring down motorcycle insurance premiums which are currently high.
According to Bizimana, he is currently paying a bill of Rwf 165,000 just for insurance, and when added to other costs, he can barely earn bread for the family.
“We are heavily burdened with current motorcycle insurance premiums…we ask that you step in and help us find a solution.”
This is not the first time that operators have denounced a drastic increase in motorcycle insurance premiums, with some policyholders citing a threefold increase.
In the last year alone, information that The new times obtained from Radiant Insurance Company indicates that the annual insurance premium has increased from Rwf61,666 to Rwf153,280 for a motorcycle manufactured five years ago or less.
Motorbikes made six to 10 years ago buy their premiums at Rwf 166,220 compared to Rwf 61,666 while those made more than 10 years ago pay Rwf 180,160.
This has already irritated motorcycle operators.
President Kagame has said that the time has come for him to personally intervene in an effort to bring about a solution to the issue.
“I will take care of it personally,” he replied to Bizimana.
According to Infrastructure Minister Ernest Nsabimana, who also attended the Ruhango event, the government will announce new insurance premiums within the next two months.
Minister Nsabimana said a number of proposals have been submitted for consideration, citing this and institutions including the central bank, Ministry of Finance and Economic Planning are dealing with the matter.