Microinsurance posts fastest premium growth to reach Ksh 2.17B

Kenya’s microinsurance segment posted the highest jump in premiums after increasing by 826% to Ksh 2.17 billion last year from Ksh 234.23 million posted in 2025.

Latest data by the Insurance Regulatory Authority (IRA) the increase was driven by rising uptake of affordable insurance products especially in underserved segments of the population.

According to IRA, during the period under review, gross direct premiums went up by 16.5%, from Ksh 400.6 billion recorded in 2024 to Ksh 466.6 billion last year.

“The performance shows the resilience and expanding contribution of the insurance sector to the protection of Kenyan households, businesses and the wider economy,” said IRA in a statement.

Premiums under life insurance grew to by 23.2% to Ksh to 236.3 billion, while life fund carried forward, comprising assets set aside to meet policyholders’ obligations, grew by 22.9% to Ksh 990.3 billion.

During the year, general insurance premiums grew by 9.4% to Ksh 224.2 billion with medical insurance growing the fastest to record Ksh 93.2 billion in premiums, a 22.3% increase.

Motor insurance continued to account for a significant share of general insurance business, with Motor Private premiums reaching Ksh 32.8 billion and Motor Commercial premiums Ksh 29.8 billion,” IRA said.

Total claims and policyholder benefits under long-term business increased 15.7% to Ksh 122.8 billion, while claims paid under general and microinsurance business rose 14.3% to Ksh 104.5 billion.

The industry closed the year with total assets increasing 20.5% to Ksh 1.5 trillion after investments grew by 18.9% to Ksh 1.31 trillion, while shareholders’ funds increased to Ksh 257.6 billion.

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