The Insurance Regulatory Authority (IRA) and Advocates Complaints Commission (ACC) have signed a Memorandum of Understanding in efforts to bolster consumer protection and enhance transparency in the process of settlement of accident claims by insurance companies.
The MoU formalizes the existing collaborative efforts between IRA and ACC to address concerns related to increased complaints against advocates, particularly in the settlement of insurance compensation claims.
A significant number of complaints lodged with ACC involve withholding of compensation by Advocates from settled insurance claims. ACC has faced challenges in obtaining information regarding the status of settlement of claims from insurance companies, thus hindering its ability to effectively investigate and resolve these complaints.
Through this partnership, IRA will play a vital role in ensuring full cooperation from insurance companies, as it aims to strengthen transparency and fair treatment of insurance policyholders and claimants.
IRA Chief Executive Officer Godfrey Kiptum says: “This partnership is a critical step in our ongoing efforts to ensure that the insurance industry operates with the highest levels of integrity and accountability. This will be cemented by working closely with the Commission, and we are committed to addressing any gaps that allow for the exploitation of policyholders and ensuring that justice is served.”
ACC can formally request IRA’s intervention in cases where insurers are uncooperative. Additionally, the MoU establishes a framework for regular information exchange, capacity building and collaborative policy development to bolster consumer protection.
Advocates Complaints Commission, Chairman, Moses Cheboi, says: “The cooperation of the Authority is crucial in our mission to uphold the standards of the legal profession. This MoU provides us with the necessary tools and support to effectively investigate and resolve complaints, particularly those involving the remittance of insurance compensation by advocates. We look forward to a fruitful collaboration that will ultimately benefit the public.”
