The Insurance Regulatory Authority (IRA) has addressed recent allegations made by Dr. S.K. Macharia regarding the regulation of Directline Assurance Company Limited. In a press release issued on December 23, 2024, the IRA assured the public and policyholders of the insurer’s operational legitimacy and compliance with regulatory standards.
“Directline Assurance Company Limited continues in operation as licensed and approved by IRA,” affirmed Godfrey K. Kiptum, the Commissioner of Insurance and Chief Executive Officer. “All insurance policies issued by Directline remain in full force and effect, and policyholders are assured that their contracts remain valid.”
The IRA further stated that Directline remains fully liable for any claims arising under its policies, refuting any contrary claims as lacking legal basis.
Responding to demands for rectification of CR12 forms—a statutory document issued under the Companies Act—the IRA clarified that such forms fall under the jurisdiction of the Business Registration Service. “IRA has no legal mandate to alter or amend CR12 forms,” Kiptum noted. He emphasized that any claims regarding ownership and shareholding structure of Directline must adhere to appropriate regulatory channels.
The IRA also addressed concerns about due process and stakeholder communication. The statement assured that the authority continues to uphold transparency and accountability in its regulatory oversight. “IRA is steadfast in its regulatory duties and remains committed to safeguarding the interests of stakeholders and policyholders,” the release concluded.
This announcement comes amid heightened public scrutiny following a cautionary advert aired regarding Directline policies under Royal Credit Limited. The IRA reiterated its commitment to ensuring insurers comply with legal frameworks and urged stakeholders to rely on verified information.
