The Policyholders Compensation Fund (PCF) has begun compensating clients of Xplico Insurance, which is currently under statutory management.
The maximum compensation amount has been capped at Kshs 250,000 per claim, and the process is expected to last for two years, starting June 4, 2024.
Xplico’s Challenges
The Insurance Regulatory Authority (IRA) placed Xplico Insurance under statutory management in December 2023.
The company has been facing declining market share in the public service vehicle (PSV) insurance sector due to competition.
In March 2022, a creditor filed a liquidation petition against Xplico, leading to a ban on issuing new insurance contracts from December 2023.