The Net Profit of Kenya’s insurance industry grew by 108.0% to KSh 15.12 Billion at the end of 2019, boosted by an increase in the sector’s investment income.
This is compared to a net profit of KSh 7.27 Billion reported in the prior year.
Data from the insurance regulator shows that the industry’s General Business segment posted KSh 131 Billion in underwritten premiums at the end of 2019, earning its dominant position in the industry.
Under General Business, medical insurance contributed 32% of the KSh 131 billion underwritten premiums followed by motor private( 18%), motor commercial(18%), fire industrial(8%), Workman’s compensation(5%) and others(19%).
Medical insurance claims reached KSh 20.4 Billion in 2019, followed by Motor Private(16.6 Billion), Motor Commercial( KSh 15.3 Billion), Theft( KSh 887 Million) and Fire industrial KSh 825 Million).
Aviation Insurance had the least claims in the general business segment at KSh 9.3 Million at the end of last year.
Figures from the 2019 IRA Annual Report also show that Kenya’s Insurance industry Gross Premium Income (GPI) grew by 6.1% to KSh 229.50 Billion in 2019 compared to KSh 216.26 Billion reported in the previous year.
The industry’s net commissions fell by 4.6% from KSh 11.5 Billion to KSh 11.0 Billion.
The Insurance industry’s entire balance sheet grew by 11.7% from KSh 635 Billion to KSh 709 Billion while its investments increased to KSh 594 Billion from KSh 524.2 Billion, a growth of 13.3%.
In the report, IRA said that Kenya’s insurance market remains general business dominated.
Figures indicate that the General and Long term insurance business accounted for 57.6% and 42.4% of total industry premiums, respectively.