Claims are Where Insurance Credibility is Earned

By Patrick Omoro If you were to speak with Kenyans who have filed insurance claim after a motor vehicle accident, a medical emergency, a building demolition or the loss of a loved one, many would narrate an experience that is full of prolonged back-and-forth and unclear delays. This is a stark contrast to the ease of signing up or paying premiums, where interactions are straightforward and expectations are positive. This disparity makes the point of claims a critical juncture in the insurance process because it is where credibility is truly measured. The first quarter of 2025 provides a clear snapshot of the sector’s dual realities. Insurance firms rejected 22,364 compensation claims worth Sh658.9 million, marking a 78% increase compared to the same period in 2024. The main reasons cited were suspected fraud and improper documentation. The rise in claim rejections has understandably caused frustration among policyholders, underlining the need for more transparent communication and structured explanations of the reasons behind each denial. At the same time, the industry demonstrated its capacity to honor its commitments. Despite the rejections, insurers paid out KES 53.24 billion in Q1 2025, a 22.7% year-on-year increase. These payouts reflect a sector that is actively fulfilling its promises to policyholders, elevating the point that insurance works when processes are handled competently. The tension between denials and payments shows that transparency is essential for sustaining public trust. Policyholders’ confidence is earned when claims are processed fairly, and any delays are communicated clearly and resolved efficiently. Complexity stemming from technical assessments must not become an excuse for poor customer experience. Recognizing this, the Insurance Regulatory Authority (IRA) recently published new guidelines to standardize claims handling and limit insurer discretion. These reforms aim to enhance fairness and consistency, ensuring policyholders clearly understand the process and criteria for both approvals and denials. In parallel, insurers are increasingly leveraging AI and data analytics to detect fraudulent claims and speed up processing. This adoption allows genuine claimants to receive timely settlements, balancing vigilance against fraud with customer-centric service. To advance this critical conversation, Minet Kenya will host the Inaugural Claims Conference 2026, under the banner: Shaping the Future of Insurance Claims in Kenya. Themed Claims: Where Insurance Trust is Won or Lost – From Promise to Performance, the two-day forum on March 18th–19th, 2026, at the Great Rift Valley Lodge, Naivasha will convene senior stakeholders across the insurance value chain to discuss strategies for enhancing claims management, fostering transparency, and building policyholder trust. This is a unique opportunity for industry professionals to collaborate on shaping the future of insurance claims in Kenya. The writer is the Head of Claims at Minet Kenya