Xplico Insurance placed under management, Invesco on liquidation
The Insurance Regulatory Authority (IRA) has placed Xplico Insurance Company Limited under Statutory Management.
In a statement, IRA said it has appointed the Policyholders Compensation Fund (PCF) as the Statutory Manager for Xplico Insurance Company Limited.
As a result, the underwriter has been prohibited from issuing any new insurance contracts effective December 8, 2023.
"Its existing Policyholders are advised to immediately seek alternative covers from other licensed insurers to ensure that there is no unnecessary exposure. The Policyholders Compensation Fund will compensate the affected Claimants as provided for under the Insurance Act, CAP 487 Laws of Kenya," IRA said.
IRA has also announced the cancellation of the operating licence for Invesco Assurance Company Limited, which is in liquidation.
"At the same time, the Authority is in receipt of communication from the Official Receiver on his appointment as the Provisional Liquidator of Invesco Assurance Company Limited (the insurer) in Malindi Insolvency Cause No. 1 of 2018 - Darna Charo Nzai & 57 Others VS Invesco Assurance Company Limited, and Nairobi Insolvency Petition No. E015 of 2019 Salesio Kinyua Njagi & 9 Others VS Invesco Assurance Company Limited," IRA added.
"The Official Receiver has taken over the affairs of Invesco Assurance Company Limited for the purposes of liquidation and the insurer's licence is cancelled therewith. The insurer is prohibited from issuing any new insurance policies with effect from 8th December 2023."
Invesco's existing policyholders have been advised to seek alternative covers from other licensed insurers to ensure that there is no unnecessary exposure.
"The Policyholders Compensation Fund will compensate the affected claimants as provided for under the Insurance Act, Cap 487 Laws of Kenya," IRA added.
