Virus: Insurance premiums fall Sh806m in first quarter
Tuesday, June 16, 2020 0:01
By OTIATO GUGUYU
Claims have also gone down.
FILE PHOTO | NMG
Insurance premiums have fallen by Sh806.6 million in the first three months of this year ahead of coronavirus in Kenya that has led to job losses, closure of businesses and pay cuts.
Based on the pandemic, it is expected that the industry will register worse results at the end of the second quarter when the effects of the virus reflect in premiums.
The Insurance Regulatory Authority (IRA) told the Senate that the industry was witnessing non-payment of premiums, lapsing policies, low renewals of short term covers and suppressed uptake of new policies.
As at March last year, gross written premiums stood at Sh67.2 billion, a 1.2 per cent decline means insurance premiums now stand at Sh66.4 billion.
