Marine cargo insurance premium plateaus
Data collected by the Association of Kenya Insurers shows that Marine Cargo Insurance premium for the first half of the year was Ksh1.14billion. There was no change at the half year mark compared to the 2017 premium also recorded at Ksh1.14billion.
There was however mixed performance in the respective quarters. Quarter one recorded premium of Ksh632million, this was a 15.45percent growth compared to quarter one in 2017. In quarter two, the premium decreased to Ksh508million in 2018 compared to Ksh589million in the same period last year; a 13.8per cent decline.
The overall performance in this class of insurance has significantly improved since the National Treasury directive to enforce Section 20 of the Insurance Act came into effect on 1 January 2017. Given the import volumes into the country, the premium remains lower much than what the industry anticipated. Efforts are ongoing between underwriters and relevant government agencies to digitize the purchase process.