Court faults IRA for ‘sudden’ cancelation of policies in three failed insurers

The High Court has faulted the Insurance Regulatory Authority (IRA) for invalidating insurance policies held by customers of three insurers and placing them under statutory management without allowing affected policyholders to be heard.

The court ruled that the Commissioner of Insurance acted outside the statutory parameters when he issued a directive on March 10, 2026, affecting Trident Insurance Company Ltd, KUSCCO Mutual Assurance Ltd and Corporate Insurance Co. Ltd.