Kenya’s Insurance Claims Report Q3 2025: Winners, Losers, and What Consumers Must Know
By admin 0 Comments 
Kenya’s insurance sector experienced massive shifts in claims activity during Q3 2025, according to the Insurance Regulatory Authority (IRA) Quarterly Claims Settlement Report Quarter 3- 2025 Claims Settleme…. From sharp increases in non-liability claims to rising complaint levels and dramatic changes in payout ratios, this quarter exposed clear winners and losers—and revealed what every policyholder should pay close attention to in 2025 and beyond.
This article highlights the biggest takeaways from the report and what they mean for Kenyan consumers navigating an increasingly complex insurance landscape.
1. The Big Picture: Claims Are Rising Across All Insurance Categories
Q3 2025 saw notable increases in the total number of reported claims:
- General liability claims: 151,009 (up from 147,606 in Q2)
- General non-liability claims: 7.56 million (a rise from 7.26 million)
- Long-term (life) claims: 185,317
- Microinsurance claims: 34,883 (a significant jump from 28,834)
The data shows that more Kenyans are relying on insurance—whether for hospital bills, vehicle repairs, funerals, or third-party liabilities. This growth is a win for insurance inclusion but also places serious pressure on insurers’ operational and financial capacity.
2. Winners: Insurers with Strong Payout Ratios & Faster Settlement
Some insurance categories showed improved payout performance, giving consumers more confidence in the claims settlement process.
✔ Non-Liability Claims – The Top Performer
Non-liability claims (e.g., health, motor own-damage, property) achieved:
- 63.62% payment ratio, up from 59.40% in Q2
- KES 23.70B paid out during the quarter
This makes non-liability the best-performing category in terms of payout consistency.
✔ Microinsurance – A Rising Star
Microinsurance claims saw:
- 39.94% payment ratio (up from 36.99%)
- Payouts doubling from KES 121M to KES 261M
This is a huge win for low-income households relying on affordable financial protection.
✔ Improved Complaint Resolution in Long-Term Insurance
Even with rising complaints, long-term insurers resolved 48% of cases, showing better responsiveness compared to previous periods.
3. Losers: Declined Claims, Rising Delays & Outstanding Liabilities
Not all trends were positive—some areas showed worrying patterns.
❌ Liability Claims Declined by a Shocking 1,939%
Liability claims (e.g., third-party motor claims) recorded:
- 1,611 declined claims, up from only 79 in Q2
- Declined amounts reduced, but the number of cases exploded
This affects thousands of vehicle owners and accident victims seeking compensation.
❌ Rising Outstanding Claims Across the Industry
Despite high payouts, unsettled claims increased significantly in value:
- Liability outstanding: KES 35.42B
- Non-liability outstanding: KES 43.88B
- Life insurance outstanding: KES 11.58B
- Microinsurance outstanding: KES 120.85M
This means more claims are stuck in processing, leaving consumers waiting longer for compensation.
❌ Complaints Spike: 532 Cases Filed Against Insurers
Complaints jumped from 423 to 532 in Q3.
- 82% were against general insurers
- Delayed claims settlement was the top complaint
- Over 53% of general insurance complaints remained unresolved
This signals worsening customer experience and slower claim handling in several companies.
4. Which Insurance Sectors Performed Best & Worst?
Here’s a consumer-friendly breakdown of winners and losers by insurance class:
🟩 Top Performers (Winners)
1. Non-Liability Insurance (Health, Motor OD, Property)
- Highest payout ratio
- Increased settlements in value and volume
- Strongest responsiveness to customer claims
2. Microinsurance
- Major growth in claims filed and claims paid
- Increasing trust among low-income policyholders
3. Select Long-Term Insurers
- High claims payment ratios (over 70%)
- Faster settlement cycle compared to Q2
🟥 Underperformers (Losers)
1. Liability Insurance (Third Party)
- Extremely high decline rates
- Low payment ratio (10.96%)
- Slowest settlement speeds
2. Insurers with High Unresolved Complaints
Some insurers had over 50% unresolved complaints—consumers should be vigilant.
3. Long-Term Insurance Decline in Payout Values
Though the number of claims increased slightly, payouts dropped from KES 32.67B to KES 31.28B, raising concerns about processing capacity.
5. What Kenyan Consumers Must Know in 2025
The Q3 report provides clear lessons for policyholders.
Lesson 1: Choose Insurers with High Payment Ratios
Companies with strong payout performance—especially in non-liability and microinsurance—are more reliable when you need them.
Lesson 2: File Claims Early and Follow Up Aggressively
Delayed settlements remain a top pain point.
Always:
- Report claims immediately
- Keep records
- Follow up regularly
- Escalate when necessary
Lesson 3: Understand Why Claims Get Declined
Most declined claims occur due to:
- Late reporting
- Missing documents
- Policy exclusions
- Inaccurate information
Understanding your policy can save you months of frustration.
Lesson 4: Monitor Outstanding Claim Trends
High outstanding claims indicate an insurer may be slow, under-resourced, or facing financial strain.
Lesson 5: Use Advocacy Platforms Like Claims.co.ke
When claims are unfairly delayed or declined, consumers increasingly rely on independent platforms for:
- Policy interpretation
- Claims escalation
- Complaint filing assistance
- Mediation with insurers
6. Final Verdict: The Q3 2025 Claims Landscape Shows a System Under Pressure—but Also Progress
The Q3 2025 data shows a sector:
✔ Handling unprecedented claim volumes
✔ Improving payout performance in key areas
✘ Struggling with delays and rejections
✘ Facing rising customer complaints
Policyholders must stay informed and proactive to ensure their claims are settled promptly and fairly.
Need Help With a Delayed or Declined Claim?
Claims.co.ke assists with:
- Motor claims
- Health insurance disputes
- Life insurance delays
- Microinsurance claim issues
- Liability and third-party disputes
Get help today and protect your right to fair compensation.
