Zanzibar Insurance Corporation is emerging as a key institution in the Tanzanian insurance landscape, following its expanded role in implementing mandatory travel insurance for foreign visitors. Founded in 1969, the corporation is one of the oldest government-owned insurers in Tanzania. It operates under the authority of the Zanzibar Revolutionary Government through the Ministry of Finance and Planning and is regulated by the Tanzania Insurance Regulatory Authority.
The corporation provides a wide range of general and life insurance products to individuals, businesses, and government institutions. Its mission is to promote financial protection, reduce risks for its clients, and support the broader economic goals of the Zanzibar government. Over the years, Zanzibar Insurance Corporation has built a reputation for offering reliable and affordable insurance solutions tailored to both local residents and international clients.
One of the most notable developments in recent years is the launch of a mandatory travel insurance policy for all foreign tourists entering Zanzibar. Introduced in October 2024, the policy is managed entirely by Zanzibar Insurance Corporation. Under this requirement, foreign adult visitors must pay a fee of USD 44, while children aged 3 to 17 pay USD 22. Infants are exempt. The policy covers medical emergencies, accidents, repatriation, and lost or stolen baggage. It was created to improve safety for tourists and reduce the financial strain on Zanzibar’s public health system in case of emergencies.
Since its rollout, the system has operated smoothly, earning positive feedback for its efficiency and simplicity. The government’s success with this policy has influenced the Tanzanian national government to adopt a similar approach. Starting in the 2025/2026 fiscal year, all foreign non-residents entering mainland Tanzania will also be required to purchase travel insurance. While the Zanzibar program is currently managed by Zanzibar Insurance Corporation, it remains to be seen whether the same model will be applied nationally or if other insurers will be involved.
Zanzibar Insurance Corporation offers more than just travel insurance. Its general insurance portfolio includes motor vehicle coverage, fire and property protection, marine insurance, personal accident coverage, and liability policies. It also provides specialized insurance for construction and engineering projects. On the life insurance side, the corporation offers group life policies, education savings plans, term life coverage, and endowment options.
To improve accessibility and customer service, ZIC has invested in digital transformation. Clients can now access services through its website, and the corporation is working on expanding online policy issuance and claim tracking. Customer service has also improved through mobile communication platforms like WhatsApp and social media. These digital enhancements are part of a broader goal to increase insurance awareness and usage among both urban and rural populations.
Despite its progress, Zanzibar Insurance Corporation faces challenges common in the regional insurance market. Insurance penetration in Tanzania remains below 2 percent, and many citizens lack understanding of how insurance works or why it matters. The corporation is addressing this through public awareness campaigns and educational programs designed to increase trust and participation.
ZIC also aims to grow its branch network across Zanzibar and on the mainland, allowing more Tanzanians to access its services. It is also strengthening partnerships with global reinsurers to improve its risk management capabilities and meet international standards. With growing responsibilities, including the administration of tourist insurance, the institution is expected to play a larger role in Tanzania’s economic and tourism development.
As regional competition in tourism intensifies, Zanzibar Insurance Corporation is positioning itself not just as a service provider but as a vital part of the infrastructure supporting safe, secure, and sustainable travel. Through strategic growth, innovation, and strong government backing, the corporation is laying the foundation for long-term success in the national insurance sector.
