HARGEISA, Somaliland, Oct. 14, 2026 — Somaliland will introduce compulsory third-party motor insurance nationwide from January 2027, according to resolutions adopted at the Somaliland Insurance Summit & Expo 2026, with government vehicles required to be insured by January 31.
The two-day gathering, held at Hargeisa’s Damal Hotel on October 12–13, brought together government officials, insurance regulators, business leaders and international delegates to discuss expanding coverage and strengthening the insurance industry.
Vice President Mohamed Ali Aw Abdi, who was serving as acting president, formally opened the event, described in a government statement as the first of its kind held in Somaliland.
“I urge the people of Somaliland to insure their vehicles; it offers many benefits. I direct that all government vehicles be covered by national insurance,” Abdi said in remarks translated from Somali.
“At next year’s conference, we must present a national insurance programme that has been implemented. Insurance will officially begin in January 2027,” he said.
Abdi described insurance as an important pillar of economic stability, protecting lives and property, encouraging investment and reducing financial risks. He also said insurance was compatible with Islamic principles, citing an explanation provided by the minister of religious affairs and endowments.
Ahmed Hersi Duale, chairman of the Somaliland National Insurance Authority, said public understanding and confidence would be central to developing the sector.
“Our priority is to increase public awareness and strengthen confidence in insurance services. We must promote transparency, accountability, professionalism, and fairness to ensure that our people understand the value of insurance and trust the services available to them,” Duale said.
He called for cooperation among public institutions, insurers, businesses and communities to broaden access and improve services.
“The Somaliland National Insurance Authority remains committed to strengthening regulation, supporting responsible industry growth, and promoting accessible and reliable insurance services,” he said.
The summit concluded with 15 resolutions covering compulsory motor insurance, industry supervision, public awareness, workplace protection, climate risks and health insurance.
The resolutions said third-party motor insurance would help compensate accident victims and reduce the financial burden on drivers and families. They also called for road safety measures to help prevent crashes.
The insurance authority is to publish a list of companies eligible to provide compulsory motor insurance by December 15, 2026. Providers must meet applicable legal and regulatory requirements.
The resolutions also called for continued monitoring and supervision of insurers and stipulated that insurance services available within Somaliland must be purchased from domestically licensed companies rather than providers abroad.
Delegates affirmed that insurance laws, services and supervisory procedures should comply with Islamic Sharia, while strengthening the governance and provision of Islamic insurance, known as takaful.
Beyond motor coverage, the resolutions called for accident insurance and stronger occupational health and safety measures in sectors including mining, oil and gas, electricity, construction and real estate.
They also proposed expanding climate-risk insurance for farmers and pastoralists, building on a climate microinsurance pilot project, and developing a framework for a national health insurance scheme in cooperation with the Ministry of Health Development.
According to the government statement, participants included ministers, senior officials, the Waddani party chairman, the central bank governor, the police chief, business leaders and civil society representatives.
Delegations also attended from the United States, Britain, Israel, Cyprus, Ethiopia, Kenya, Ghana, South Sudan and Pakistan, the statement said.
The resolutions urged the insurance authority and its partners to strengthen nationwide public awareness and financial literacy programmes to build confidence and expand insurance coverage.
