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Sanlam sues travel agency for failing to clear insurance premium

FILE PHOTO: Sanlam General Insurance

Kampala, Uganda | THE INDEPENDENT | Sanlam General Insurance Limited has sued Katuma Tours and Travel Limited for alleged failure to pay more than 55 million shillings for comprehensive insurance provided for their vehicles.

Sanlam provided comprehensive insurance for the Travel company’s motor vehicles between 2017 and 2019. But the company allegedly failed to make all payments due for the service offered, leaving an outstanding bill of 55.5 million shillings, according to a suit filed before the Commercial Division of the High Court.

Sanlam further argues that an intention to sue was served to Katuma Tours and Travel Limited on October, 4, 2019 but the same was ignored. The company was asked to make full payment of the outstanding balance within a fortnight upon receipt of the notice, a failure of which would result in further legal action. No payment was made thereafter.

The insurance company now wants the commercial court to issue an order compelling the travel firm to pay the money in question, alongside general damages and costs of the suit.

The travel firm has been summoned to file its defence in the matter before it’s fixed for hearing.

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