Insurance
DOMESTIC FACTORS ROCKING
THE INSURANCE INDUSTRY
By Nelius kanyingi
[email protected]
Election year
2017 has been an election year for Kenya where the
political climate has been on an all time high with the
growing concern of election uncertainty ahead of the
outcome. Kenyan insurers have braced themselves by
selling products and policies to individuals and corporate
companies insuring them against any political risk.
“About three months to the elections there were a
lot of enquiries which translate into business regarding
political risk to cover domestic houses and commercial
buildings.” Nelson Omolo Chairman of Association of
Insurance brokers of Kenya
Premiums however reduced after the actual election
date on August 8th but now have now risen after the
18 | THINK BUSINESS • NOVEMBER 2017
supreme court ruled against the re election of President
Uhuru Kenyatta. Ongoing protests led by the opposition
leader Raila Odinga has led to the uptake of political risk
cover due to the prolonged uncertainty in the politics.
Amaco Insurance for example collected premiums of Ksh
10 million in the three months to the elections
After the 2007/2008 post election violence the
African Trade Insurance Agency offered increased capacity
in setting up a financial pool to ease local underwriters’
burden of covering political risk involving 20 local
insurance firms.