Kenya’s insurance sector’s total underwritten premiums increased by 7.03% to KSh 231.3 Billion at the end of 2019. This level compares to KSh 216.11 Billion in the prior year.
Association of Kenya Insurers (AKI) annual figures show that in 2019, Gross written premium in life business increased 12.14% to KSh 97.85 Billion while non-life business premiums increased by 3.57% to KSh 133.45 Billion.
The industry’s total investments and other incomes increased by 39.07% to KSh 69.85 Billion divided into KSh 48.55 billion in life business and KSh 21.30 billion in non-life business.
Total commissions and expenses stood at KSh 76.36 billion in 2019 from KSh 69.63 billion in the prior year, an increase of 9.66% increase. While commissions increased by 4.46%, expenses grew by 12.05% in 2019.
The entire industry’s reinsurance premium ceded grew by 6.10% to KSh 46.68 Billion up from KSh 43.99 Billion in 2018.
The Industry’s Net Earnings increased to KSh 12.69 Billion in 2019 from KSh 3.0 Billion. This growth is due to profit recorded by life business which increased to KSh 8.09 Billion from a loss of KSh 491.17 Million in 2018.
Net claims incurred by the industry stood at KSh 117.30 Billion in 2019 compared to KSh 111.01 Billion in 2018, an increase of 5.67%.
The industry’s balance sheet size grew by 8.77% to KSh 686.02 Billion in 2019 compared to KSh 630.72 Billion in 2018. While there was a new entry, MUA from Mauritius-which acquired Phoenix Assurance, the number of insurance companies remained at 54 in 2019, similar to 2018.
AKI report 2019 shows that there were 16 Reinsurance brokers in 2019 from 14 in 2018. The number of agents increased from 8,955 in 2018 to 9,262 in 2019.
Licensed brokers decreased from 216 in 2018 to 213 in 2019. The number of insurance surveyors and loss adjusters stood at 30 in 2019 compared to 28 in 2018.
Kenyan insurance firms had the highest concentration in Tanzania at 13 Insurers while Uganda and Rwanda followed with 12 and 5, respectively. Mauritius, Malawi and South Sudan also host three Kenyan Insurance companies each.