Policyholders Compensation Fund (PCF) has commenced the process of paying policyholders and claimants of BlueShield Insurance Company Limited.
In a notice, PCF said individuals with unsettled claims to take advantage of the compensation process and window.
At the same time, policyholders have two years from the time of the notice to make claims or forfeit their compensation.
The following steps outline the procedure for claiming compensation:
BlueShield Claiming Process
Visit the PCF Website: Policyholders and claimants are instructed to navigate to the official PCF website by accessing www.pcf.go.ke.
- Access the Claims Portal: Once on the website, individuals should locate and click on the designated Claims Portal available under the Online Services section.
- Register for an Account: Upon accessing the Claims Portal, users will be prompted to register for an account. They are required to follow the provided instructions meticulously to set up their account effectively.
- Complete the Online Claim Form: After successful registration, individuals must fill out the online claim form with accurate information. It is imperative to ensure that all necessary documents outlined in the claims process section are attached.
- Submission and Notification: Once the claim application is completed and submitted via the portal, applicants will receive an email notification confirming the submission of their claim.
It is important to note that the Claims Portal will be open for submissions starting from Tuesday, 2nd April 2024.
Additionally, policyholders are reminded that failure to submit a claim for compensation within two (2) years from the date of this notice publication will render them ineligible for compensation.
Furthermore, the verification and approval process for payment will be conducted in accordance with the Fund’s guidelines and procedures.
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The maximum amount payable per claim is capped at Kshs. 250,000.00 based on statutory limits.
For any further inquiries or assistance regarding the compensation process, individuals are encouraged to reach out to the Managing Trustee of the Policyholders Compensation Fund.
About CPF
The Policyholders Compensation Fund, operating under the National Treasury and Economic Planning, was established under Section 179 of the Insurance Act (CAP 487).
Its primary objective is to facilitate compensation for claimants of insurers undergoing Statutory Management or those whose licenses have been revoked.
Additionally, it serves to bolster public confidence in the insurance industry.
With the initiation of compensation processes for policyholders and claimants of BlueShield Insurance Company Limited, individuals with pending claims are urged to take action promptly.
BlueShield Insurance Company Collapse
BlueShield Insurance Company Limited, is currently under a Statutory Management.
In a gazette notice published earlier this year, the statutory manager extended the moratorium period on payments for another six months up to July 23.
According to the gazette notice, the extension took effect on January 23.
“Pursuant to the application of the Commissioner of Insurance in exercise of his powers conferred under section 67C (3) of the Insurance Act, and to the orders of the court subsequently issued on the 22nd of January 2015, the period of statutory management was extended for a further six months with effect from January 23, 2015,” states the gazette notice.
BlueShield was placed under statutory management on September 17, 2011, for one year during which the statutory manager was protected via moratorium from making any immediate payments to creditors.
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A moratorium is a legally authorized period to delay payment of money due to other people or parties. This means that creditors cannot take any action to recover or enforced the debts during the period of a moratorium.
BlueShield Insurance Company Limited, has KSh2.2 billion claims, out of which KSh2 billion will be paid out from the Fund.
The statutory management had since declared a moratorium on all payments for a further period pending the hearing and determination of the winding up cause, Milimani HC Misc cause No.238 of 2017 or until otherwise termination by the court.
