Close to 8,000 agents and brokers are lobbying insurers to lock out importers from booking policies from their online portals as industry earnings drop amid claims of undercutting.
Through their national lobby, the Bima Intermediaries Association of Kenya (BIAK), the agents said allowing traders direct access to portals for marine cargo insurance (MCI) has rendered their businesses irrelevant in the industry value chain.
From January, all the insurance firms that provide MCI have launched online portals that enable traders to log in and buy their products directly.
“We are losing a lot of commissions,” said BIAK chairman Washington Ndegea. “All we do these days is to educate customers who then go behind our backs to buy directly from service providers once they understand the products.”