Xplico Insurance’s Statutory Manager Caps Compensation at KShs 250,000 per Claim

The Policyholders Compensation Fund (PCF) has started the process of compensating the clients of Xplico Insurance- which is under statutory management- with the maximum amount capped at Kshs 250, 000 per claim.

According to the PCF, the compensation phase will last for two years from June 4 2024.The Industry regulator IRA placed Xplico Insurance under statutory management in December 2023 and appointed the Policyholders Compensation Fund (PCF) as its Statutory ManagerThe underwriter has seen its market share in the public service vehicles (PSV) business eroded as close competitors gradually edge it out.Xplico was prohibited by IRA from issuing any new insurance contracts from 8th December 2023. Troubles for the insurer begun when a liquidation petition was filed by a creditor, Doris Mwaka Mwakwekwe, on March 17th 2022.

A key beneficiary of Xplico’s troubles has been Directline which has seen its market share in the PSV cover business, a loss-making venture for many underwriters, grow.

Xplico’s products include covers in areas of micro-health, sports, travel, aviation, marine, trade & credit and structured finance.

IRA Places Xplico Insurance Under Statutory Management – Kenyan Wall Street