The Insurance Regulatory Authority is working with the Kenya Revenue Authority (KRA) to implement a new marine cargo insurance system that has been delayed since February 2025.
The new system, which is expected to enhance compliance and help local insurers benefit from marine insurance business, is now expected to be operational in July. Once the system goes live, importers will be required to obtain a digital marine cargo insurance cover, without which they will not be able to secure customs clearance. They can acquire digital insurance certificates via clearing agents and mobile apps.
IRA chief executive Godfrey Kiptum said the rollout was held back due to technical issues, reported Business Daily.
Despite the law prohibiting importers from using insurers not licensed locally, through the Marine Insurance Act and the Insurance Act, compliance has remained low.
IRA figures show that marine and transit insurance premiums grew to KES4.66bn in 2024, up from KES4.44bn in 2023, and a significant increase from KES2.7bn in 2016, before a directive for marine cargo insurance to be insured by local insurers took effect on 1 January 2017.
To read the original text, please click on this link.