The Insurance Regulatory Authority (IRA) has appointed the Policyholders Compensation Fund (PCF) as the Statutory Manager for Xplico Insurance Company Limited after it was put under receivership.
This means that Xplico Insurance ceases new insurance contracts on December 8, 2023, advising policyholders to seek alternative coverage. PCF will compensate affected claimants under Kenya’s Insurance Act.
Besides, IRA has received notification from the Official Receiver regarding their appointment as the Provisional Liquidator of Invesco Assurance Company Limited.
The appointment pertains to the Malindi Insolvency Cause No. 1 of 2018 and Nairobi Insolvency Petition No. E015 of 2019, involving Dama Charo Nzai & 57 Others.
Statutory management is a process where the Commission assumes immediate control and management of a company’s business and assets. The Commission may operate the company until it is permitted to resume business independently, subject to any terms and conditions imposed by the Commission.
Invesco Assurance Company Limited’s affairs have been taken over for liquidation, and its insurance license has been cancelled following the appointment of the Official Receiver.
Invesco is prohibited from issuing new insurance policies starting December 8, 2023, and policyholders are advised to seek alternative coverage from other licensed insurers.
Policyholders are advised to seek alternative insurance from licensed insurers to reduce risk exposure, with PCF compensating claimants under Kenya’s Insurance Act, Cap 487 Laws.
