The Policyholders Compensation Fund (PCF) has issued a nationwide call to individuals affected by collapsed insurance companies—BlueShield Insurance Company Limited, United Insurance Company, Xplico Insurance Company, and Invesco Assurance Company—urging them to come forward and lodge their compensation claims.
The appeal targets both claimants who have not yet submitted claims and those who may have filed but are yet to be compensated. Submissions can be made in person or via PCF’s official online platforms.
The announcement comes as the Fund launched a vibrant public awareness campaign in Narok County under the banner “PCF Mtaani.” The campaign aims to demystify the Fund’s operations and build public trust in Kenya’s insurance industry.
“We believe in building public trust through transparency and accessibility,” said Mr. Mamo Abudo, Director of Corporate Services at PCF. “This campaign not only empowers the public to take action but also reinforces the Fund’s commitment to safeguarding policyholders’ interests.”
The nationwide initiative is designed to educate and engage the public about how PCF operates, especially concerning compensating policyholders affected by troubled insurers.
Currently, the maximum payout per claim is KES 250,000, as set out in the official gazette. This financial relief assists claimants impacted by the revocation of their respective insurers’ licenses or their placement under statutory management.
PCF began processing claims on March 10, 2021, following a landmark amendment to the Insurance Act in 2019. Previously, the law mandated that an insurance company be fully wound up through the courts before any compensation could be made—a process that often led to years of delay.
Recognizing the hardship this created for affected policyholders, PCF spearheaded efforts to reform the legal framework, allowing compensation to begin as soon as an insurer is placed under statutory management or its license is revoked. This shift has shortened waiting periods and significantly improved access to compensation.
To date, the Fund has disbursed over Sh. 207.5 million in compensation, a milestone that reflects its growing role in enhancing public confidence in the insurance sector.
Established in 2004, the Policyholders’ Compensation Fund is a State Corporation under the National Treasury and Economic Planning. Its core mandate is to protect policyholders and claimants in the event of insurer collapse, while promoting stability and trust in the insurance industry.
By Lamech Willy.A
