Public Service Cabinet Secretary Moses Kuria has asked drivers who had insured their vehicles with Xplico Insurance not to pay bribes to traffic police officers.
Kuria, in a statement on Saturday, said that he had received reports about police officers asking for bribes from affected drivers, a day after the Insurance Regulatory Authority (IRA) put the company under liquidation.
However, Kuria affirmed that it was not reasonable to expect innocent policy holders to get a new insurance cover over the weekend.
In his statement, the CS assured that he had raised the issue with Inspector General of Police Japhet Koome.
Moses Kuria issues stern warning
Kuria also warned police officers soliciting bribes from affected motorists, stating that they were doing so at their own risk.
“It’s not reasonable to expect innocent policy holders to get new cover over the weekend,” Kuria wrote.
“Any police officers especially around Eldoret Town who are doing this, do it at your own risk. I urge all PSV owners not to pay any bribes.”
In a statement on Friday, December, the IRA prohibited Xplico from issuing further insurance policies with immediate effect.
IRA also asked Kenyans who had insured with the company to immediately seek alternative covers to avoid exposure to risks.
For affected claimants, the Regulatory Authority appointed the Policyholders Compensations Fund (PCF) to compensate all affected claimants.
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“Its existing policyholders are advised to immediately seek alternative covers from other licensed insurers to ensure there is no unnecessary exposure,” IRA wrote in the statement.
IRA cancels Invesco License
But insurance policyholders at Xplico were not the only motorists affected.
In addition to the Xplico announcement, the IRA acknowledged receipt of information from the Official Receiver about the imminent liquidation of Invesco Assurance Company.
The company, according to IRA, was put under receivership after a court case pitting it against 58 claimants.
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Consequently, the Insurance Regulatory Authority (IRA) prohibited the company from issuing further policies and directed policyholders to seek alternative covers.
“The Official Receiver has taken over the affairs of Invesco Assurance Company Ltd for purposes of liquidation and the insurer’s license cancelled therewith,” the statement read in part.
Similarly, the Policyholders Compensations Fund (PCF) to compensate all affected claimants.
