Home Business Kenyans pay Sh35bn for non-existent insurance

Kenyans pay Sh35bn for non-existent insurance

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Business Daily | by Otiato Guguyu

Businesses and individuals have spent Sh35.73 billion on non-existent insurance covers after brokers failed to remit premiums, exposing the customers to heavy losses when they make compensation claims.

The Insurance Regulatory Authority (IRA) has disclosed in its latest annual report that its threats to deny the offending agents operating permits had contributed little to lowering the unremitted premiums.

This means that the risks worth hundreds of billions of shillings are not recognized under the “cash and carry” principle…

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