In the east africa region, we are followed by tanzania and uganda. The study adopted the explanatory research design and the population of study was 30 shopping malls in nairobi county, kenya. However, the history of the development of commercial insurance in kenya is closely related to the historical emancipation of kenya as a nation. Who health financing reform in kenya assessing the. With the rapid expansion of east africas economy, the insurance industry is on a solid footing entering 2015. Kenyan authorities close 2 neighborhoods deemed coronavirus hotspots nairobi kenya has closed two neighborhoods one in the capital, nairobi, and the other in the coastal city of mombasa after a surge in confirmed cases of coronavirus.
The total gross premiums collected have risen from ksh 1 billions in 20 to ksh 173 billions with the life insurance being the faster growing segment compared to the general business line. We cater for healthcare needs across a number of different income brackets to ensure the. Solian insurance brokers is committed to giving you the most convenient way to buy insurance. Top 10 insurance companies in kenya answers africa. Best is of the view that kenya res underwriting portfolio is concentrated within countries that possess a high level of country risk. Mar 28, 2017 blue health cover is a suite of health insurance products offering a comprehensive set of health benefits to employer groups in kenya and across the continent of africa. The insurance regulatory authority ira is the regulator of all insurance companies in kenya, with a mandate to regulate, supervise and develop the insurance industry in kenya the minimum paidup capital have been set at kshs.
The insurance industry in kenya, key trends and opportunities. Insurance fund nhif into the national health insurance fund at the present conjuncture and the managerial and financial imperatives for this change. It is expected that the demand for both life and nonlife insurance products will continue to rise as more households join the middle income class and as the market for project risk coverages soars driven by the ongoing investment in infrastructural projects across the region. Health insurance and medical insurance companies in kenya. Kenyas listed insurance companies analysis cytonn fy2015. Registration is open during working hours in nhif building nairobi 3rd to 10th floor, national hospital insurance building is located along ragati road in upperhill area of nairobi.
Insurance cover upon change of ownership of motor vehicle. This has led to high poverty levels hence low purchasing power. Cic 20 annual report page 69 and 70 archived 20140726 at the wayback machine. Blue health cover is a suite of health insurance products offering a comprehensive set of health benefits to employer groups in kenya and across the continent of africa. Historical account of the national health insurance. Insurance in kenya best insurance company in kenya solian. Insurance motor vehicles third party risks act cap 405 of the laws of kenya 7. Nov 18, 2009 the study will also heavily refer to the new zealand no fault law. The health insurance sector is undergoing rapid changes in kenya. While declining numbers could be a result of sales managers looking for quality over quantity, retention rates have not seen a. Our service will make it easy for you to pick a corporate cover for your employees, or to recommend one to your boss. Fires are likely to become the most costly fires in u. Insurance fact book is meant to be used along with the institutes website. Global regulatory trends show that tougher regulation and increased pressure to perform can improve the sectors prospects and encourage investment.
Insurance sector outlook for east africa 2015 deloitte. Ira is the insurance regulatory authority an autonomous government institution created through an act of parliament ira started operations in may 2007. Analysis of listed insurance companies in kenya nairobi. While some countries like south africa has about 9% insurance penetration, kenya has 3% of her population under one form of insurance or the other. In 20 kenya reformed the healthcare system and sector with the socalled devolution, meaning that the 47 counties gained a relatively high degree of autonomy.
The choice of reference for new zealand is informed by the commonalities of the common law legal system in kenya and new zealand and the population of both countries. Our purpose at liberty is to make a difference in peoples lives by making financial freedom possible. This way, it is a great tool for financial planning. Knbs is a government department, in the ministry of planning and national development mandated by law to collect, analyze and disseminate socioeconomic statistics needed for planning and policy formulation. The role of the insurance regulatory authority in the. Liberty life assurance kenya is a life insurance provider that has been providing relevant products to kenyans for over 50 years. The national hospital insurance fund nhif is a kenya government state corporation with a mandate to provide health insurance to kenyans over the age of 18. Accordingly, the term insurance may be defined as a cooperative mechanism to spread the loss caused by a particular risk over a number of persons who. We actively supported the sector as they prepared to adopt the standard for 2005 financial statements, and in december 2004 held a seminar for our insurance sector contacts on the implications of the standard.
Insurance companies bear risk in return for a fee called premium. Top 10 insurance companies in kenya arranged in no particular order. Law applicable to contracts of insurance and place of payment. We cater for healthcare needs across a number of different income brackets to ensure the most comprehensive cover at affordable rates. Overview of kenya national bureau of statistics knbs. Even so, consider a global medical plan if you are working in kenya, selfemployed or staying longer term. Growth prospects for kenyas insurance industry kenyas insurance sector is ripe for investment and growth. A stockist at tumaini agricultural supplies in central kenya selling kilimo salama insurance. British american insurance company british american insurance company is an expanded financial services entity in kenya that offers quite a vast number of asset and insurance services to small entrepreneurs, individuals, government entities and large corporations. Ira took up the functions of the former department of insurance charged with regulating supervising and developing the insurance industry in kenya. Insureafrika provides medical insurance quotes to clients seeking an individual health insurance cover, or corporate health insurance cover.
The fault insurance is always said to be a social symbol, a cultural mirror that reflects the morals of society. But challenges also came from the economy and its recurring crises which at times caused bigger losses than the worst insured catastrophes. Lecture delivered during fulbright hays group project abroad program. It is hoped that universal health coverage will go a long way in building the social pillar in kenya s vision 2030 since, over the next 5 to 10 years, the majority of poor kenyans will have. In kenya there are a total of 50 insurance companies, 3 reinsurance companies, 198 insurance brokers, 4 reinsurance brokers and 5,155 insurance agents. This goes back to the history of britam, which started off providing an insurance.
Defaults of insurer, broker or agent not to invalidate policy. Ltd which is an insurance broker and the fourth is the c. Kenya is the healthcare frontrunner in east africa. Challenges facing the insurance sector in kenya it is an uncontestable fact that the path tracing the growth of the insurance sector in kenya is littered with numerous problems. Healthcare financing through health insurance in kenya equipped to manage the collection of contributions, support the process of identifying entitlements, arrange for access to the services to which. Extensive severe weather events in the united states during april cost insurers billions of dollars, according to the latest edition of aons global catastrophe recap report. Insurance regulation in kenya introduction insurance is a business of trust and can be abused. Citation 1 these regulations may be cited as the kenya deposit insurance regulations, 20. Currently, the legal and institution framework of insurance business derives from the insurance regulatory association ira and the association of kenyan. Get quotes online from kenyan insurance companies at the click of a button. Three malls were selected for the purpose of this study. L, 1998 in the past few years, private health insurance sector in kenya has been recorded as the highest lossmaking insurance class with loss ratios of 74.
Finding the global health insurance plan is a critical part of planning your travel. Insurance is an important part of the financial sector. Business derived from kenya represents approximately 60% of gwp. Recently, significant preparatory work was done on a new social health insurance law that, if accepted, would lead to universal health coverage in kenya after a transition period. Pan africa insurance company, established in mombasa in 1947, was the first insurance company in kenya to be listed on the nse. This report provides a comprehensive analysis of the insurance industry in kenya. What was the companys vision in starting britams microinsurance business. With the conquest of kenya as a british colony complete, settlers initiated various economic activities, particularly farming, and extraction of agricultural products huxley, 1990. Technology and innovation in the insurance sector oecd. Rwanda, burkina faso, kenya, nigeria, and south africa have either started a national health insurance program or are in the advanced stages of starting one. From 2011 to the start of 2014, the helpline answered about 50,000 calls more than 400 per week. The insurance industry in kenya, key trends and opportunities to 2018 market research report reportscue.
Insurance policyholders compensation fund regulations, 2010 6. In other words, insurance companies are risk bearers and accept or underwrite the risk in return for an insurance premium. There is also selfregulation of insurance by the association of kenya insurers aki established in 1987 as a consultative and advisory body to insurance companies and registered under the society act cap 108 of kenyan law. In the last five years, the life insurance market in kenya has experienced growth in. The insurance regulatory authority is a statutory government agency established under the insurance act amendment 2006, cap 487 of the laws of kenya to. The application of ifrs 4 insurance contracts in 2005 was a significant challenge for the global insurance industry. East africa insurance outlook report 20192020 deloitte. Factors influencing agents retention in insurance industry. Feb 07, 2012 the next is uap provincial insurance co. The importance of insurance, its challenges and solutions.
Although this has, in fact, been happening over the history of finance, the recent proliferation of. National hospital insurance is a government insurance agency. The colonial history of kenya dates from the berlin conference of 1885 when the european powers first partitioned east africa into spheres of influence. The top 10 insurance companies in kenya by premium size for the year ending december 2015 according to the ira report released april 2016. The aftermath of the great fire saw the creation by dr. Reforming the insurance regulatory framework in kenya. It only requires updating with the help of new data that are constantly retrieved from publishers databases and other sources. Insurance originally evolved as a commercial instrument, and it was not until after 1666, as a result of the great fire of london, that insurance for households, aptly named fire insurance, emerged. A history of hindrances and limiting factors christopher nulty 09 the beginnings of this paper are rooted in kibera, kenya. Pdf healthcare financing through health insurance in kenya. If you are moving for a job, most employers will provide healthcare insurance as part of a benefits package.
The kenyan insurance industry is one of the fastest growing markets on the entire african continent. Aprils killer tornadoes cost insurers billions in claims. July 5th to august 6th 2009 at the moi university main campus. Government established the east african protectorate and, soon after, opened the fertile highlands to white settlers. Nov 04, 2012 the insurance industry is facing in kenya. The study will also heavily refer to the new zealand no fault law. Fatal accidents act, cap 32 of the laws of kenya 4. In 2015, there were 16 life insurers, 25 general insurers, 10 composite insurers and three reinsurers operating in the country. Insurance sector outlook for east africa 2015 deloitte east. The current average insurance penetration level in kenya is at three per cent of the gdp compared to south africa at 12 per cent. Ghana adopted the nhis in 2003, which was fully implemented two years later 19, with relative success in enrollment, utilization, increasing access to formal services 20, 21.