This Is How Insurance Brokers and Employees Defraud Motorists in Kenya



There are reports that insurance brokers and some employees working in major Insurance companies collude to defraud unsuspecting motorists.

This is how it works. The Brokers/Agents collect money meant for insurance premiums from motorists for the relevant cover. The Brokers/Agents collude with wayward employees in the insurance companies and obtain “genuine” insurance cover stickers, put the details of the car owner and ditto, you have a cover! The Police cannot even detect because the cover sticker is original & genuine. But alas, the details of the car owner and his/her car are not entered in the Insurance Companies database and the money is not remitted to the insurance company. It disappears like the Malaysian plane.

It is only when a bad accident happens that the motorist learns the truth. So far, KeIFA is investigating several cases of this scam involving a number of Brokers/Agents and 5 insurance companies. Two of the insurance companies have since suspended some of their employees involved.

If you are a motorist, please call your underwriter/insurance company and find out if your details exist in their database. Skip your broker/agent for now and call your insurer directly. Spread the word and share this update widely.



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