Blue Shield Insurance placed under statutory management

Blue Shield Insurance has been placed under statutory management, putting at risk millions of Kenyan road users and others who hold claims against the company or have insured their vehicles with the company.

The insurer was placed under statutory management on Friday after several years of complaints by clients whose claims had been delayed.

Although there are no official statistics, industry players said Blue Shield insured about 50 per cent of PSVs – matatu and motorcycles – by the time it was taken over by the regulator on Friday.

“We are now very concerned with the PSV insurance sector,” said the CEO of Insurance Regulatory Authority (IRA) Sammy Makove. “We are evaluating models that have worked elsewhere in the world although the problem in Kenya is lack of regulation in matatu sector.”