The Insurance Regulatory Authority (IRA) has placed Trident Insurance Company, KUSCCO Mutual Assurance Limited, and Corporate Insurance Company under statutory management in accordance with the provisions of the Insurance Act.
In a statement, the IRA said, “This regulatory action has been taken to safeguard the interests of policyholders, creditors, and the general public, and to stop further accumulation of risks and liabilities. The Policyholders Compensation Fund (PCF) has been appointed to take control of the management and operations of the affected insurers, effective 11 March 2026.”
The regulator added, “The decision was arrived at after extensive supervisory engagement with the three insurers, during which the Authority noted continued deterioration in the companies’ financial positions and failure to meet mandatory solvency requirements. Despite several regulatory interventions and directives issued by the Authority to safeguard policyholders’ interests, the companies did not demonstrate sufficient capacity to restore compliance within the stipulated timelines.”
The Authority assures policyholders, claimants, intermediaries, and other stakeholders that appropriate measures are being implemented to safeguard their interests. PCF will oversee the affairs of the companies, including assessment of liabilities, verification of claims, and orderly resolution of outstanding obligations in line with the law.
Statutory management will allow the authorities to determine the true financial position of the companies and chart the most appropriate course of action, which could include restructuring, divestment or liquidation.
The three insurers join a list of troubled insurers in Kenya in recent years, which included Blue Shield Insurance, Invesco Assurance, Resolution Insurance, United Insurance and Xplico Insurance.