The Insurance Regulatory Authority is looking to set up a regulatory sandbox for targeting players in the insurance industry by the end of 2019. The sandbox will allow companies to test ideas and launch products in a simulated environment which mirrors the market.
Moreover, the platform will help local insurance players to innovate freely, and perhaps save the industry from its dwindling numbers. In Q1 2019, Kenya’s insurance industry recorded an underwriting loss of Kshs 1.39 billion. In contrast, the sector made a profit of Kshs 171.4 million in Q1 2018.
“We are working on developing a regulatory sandbox to enable insurers and any startup to test ideas and see which one can be fine-tuned and delivered to the market.” Said Robert Kuloba, IRA’s Policy Research and Development Manager. “ Furthermore, we hope to commit resources by the end of the year,” he added.