Kenya is set to introduce new rules to regulate the key tool used in offering weather-related risk insurance and compel insurers to compensate customers within 10 days, in a move to shield farmers, households and businesses from the growing financial shocks of climate change through insurance.
The draft Insurance (Index Insurance) Regulations 2025, will govern the setting of premiums and settlement of claims under index-based insurance, a type of insurance that pays out claims based on a pre-determined index, such as rainfall or satellite-recorded vegetation levels, rather than an individual claim assessment.
