Brokers say Insurance Amendment Bill 2018 will kill sector - 3 months ago, 8 Nov 12:40
Insurance brokers said Thursday that the Insurance Amendment Bill 2018 is punitive and will kill the sector.
Association of Insurance Brokers of Kenya (AIBK) chairman Nelson Omollo said if passed, it will lead to job losses and closure of businesses.
In the proposed bill, customers will be able to submit their premiums directly to insurance companies.
Under the current arrangement, brokers collect premiums from customers to the insurance companies. This link has been removed in the new amendment.
“What the law proposes is that insurance brokers should not handle premium payment to the insurer yet we all know that insurance brokers are the intermediaries, meaning that we get insurance consumers and take their business to be insured," Mr Omollo said.
Dennis Nyongesa, a board member at AIBK, also said the insurance brokers will be phased out of business once that bill is approved in the Parliament.
“As business people and if we are ...
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