20 Insurance Brokers Banned By The State

Regulatory crackdown hits Kenya’s insurance sector as IRA cancels licences over compliance failures

The Insurance Regulatory Authority (IRA) has stripped 20 insurance brokerage firms of their operating licences in a sweeping regulatory action that took effect on June 30, 2025.

The deregistration, announced in a public notice yesterday, represents one of the most significant compliance crackdowns in Kenya’s insurance sector in recent years, though the regulator has remained tight-lipped about the specific violations that triggered the mass cancellation.

“The Insurance Regulatory Authority hereby notifies the public that licences of 20 insurance brokers have been cancelled pursuant to Section 196(A) of the Insurance Act,” the IRA stated in its notice, citing the legal provision that governs licence revocations.

The affected firms are now prohibited from conducting any insurance business, leaving potentially thousands of clients scrambling to find alternative coverage and raising questions about the protection of existing policies.

This latest action follows a pattern of increasingly stringent oversight by the IRA, which has been grappling with systemic issues in the insurance intermediary sector.

In 2020, the authority conducted a similar review that saw several brokerage firms removed from the approved list.

The timing of the announcement is particularly significant, coming as the authority continues to address longstanding concerns about premium management and regulatory compliance across the sector.

Industry data from 2018 showed outstanding insurance premiums had reached KSh 43 billion, with intermediaries accounting for a substantial portion of these arrears.

The mass deregistration sends a clear signal that the IRA is willing to take decisive action against non-compliant operators, even at the risk of short-term market disruption.

For consumers, the immediate concern lies in understanding their rights and options if their broker was among those affected.

The regulatory action also highlights the ongoing challenges in Kenya’s insurance market, where penetration remains low despite efforts to expand coverage.

Recent surveys indicate that over 53% of small and medium enterprises remain uninsured, partly due to distribution challenges that incidents like this could exacerbate.

Section 196(A) of the Insurance Act provides the IRA with broad powers to cancel licences where firms fail to meet regulatory requirements.

However, the authority’s decision not to specify the grounds for these particular cancellations has left industry observers speculating about the nature of the violations.

The IRA’s mandate extends beyond mere oversight to actively promoting sector development, creating a delicate balance between enforcement and market growth.

List of deregistered companies:

– African Continent Insurance Brokers Limited
– Andalus Insurance Brokers Limited
– Allied Insurance Brokers Limited
– Alpha-Levits Insurance Brokers Limited
– Arkchoice Insurance Brokers Limited
– Berkley Insurance Brokers Limited
– Bilan Insurance Brokers Limited
– Blossom Insurance Brokers Limited
– Fides Insurance Brokers Limited
– Harbinger Insurance Brokers Limited
– Homeland Insurance Brokers Limited
– Ibsa Insurance Brokers Limited
– Khushal Insurance Brokers Limited
– Legacy Insurance Brokers Limited
– Masumali Meghji Insurance Brokers Limited
– Nexus Insurance Brokers Limited
– Online Insurance Brokers Limited
– Real Alliance Insurance Brokers Limited
– Solian Insurance Brokers Limited
– Swinton Insurance Brokers (K) Limited