Nine traders at Lumumba Market in Mwanza have received TZS1.07 billion in insurance compensation from NMB Bank and Reliance Insurance after a fire destroyed their shops and property on July 3, 2026.
The fire affected more than 60 traders, according to Reliance Insurance, but only nine had insured their businesses and assets, making them eligible for compensation.
The nine traders received a combined TZS1,072,554,090 after an assessment of the damage confirmed their insurance claims.
NMB Bank Insurance Claims Manager Madoro Max said the bank responded promptly after receiving reports of the fire by deploying experts to assess the extent of the damage.
He said the assessment confirmed the claims submitted by the nine insured traders, paving the way for the compensation.
The payout is expected to help the affected traders replace lost stock, restore their businesses and rebuild income sources disrupted by the fire.
NMB Lake Zone Manager Faraja Ng’ingo said the compensation demonstrated the importance of insurance in protecting businesses against unexpected losses.
He said the payments would give the beneficiaries an opportunity to recover and resume their economic activities.
Mwanza Regional Commissioner Said Mtanda urged traders to insure their businesses and property, saying insurance provides an important financial safety net when disasters occur.
The incident has also highlighted the low level of insurance coverage among small businesses. Although more than 60 traders were affected by the fire, only nine had insurance cover.
One of the beneficiaries, Zablon Deogratius, said the compensation would help him rebuild after losing business assets and working capital in the fire.
For the nine traders, the payment provides a critical lifeline to restart their businesses, while the wider incident underscores the importance of insurance in protecting livelihoods and investments against unforeseen risks.
