AAR Insurance Managing Director Caroline Munene launching Eldoret offices on October 12, 2017. [Photo/Joe Khisa]
Insurance companies in the country are up in arms following huge loses they are encountering due fraudulent claims from their customers.
AAR Insurance Managing Director Caroline Munene says they are now operating under unfavorable environment conditions putting to risk their sustainability.
Speaking during the opening of their expanded offices in Eldoret town on Thursday, Munene said a recent report by the Insurance Regularity Authority revealed that Insurance companies in the county lose close Sh1 billion that come from insurance products.
"We are facing a lot of challenges in terms of sustainability as are claims are higher compared to premiums paid by our customers," Munene said.
"One of the major challenge that we have to deal with is the issue of fraudulent claim which basically is the cause of high premium rates that Insurance companies in the county charge," she added.
The AAR Insurance MD, however, assured Kenyans that they will continue providing quality products that match their demands.
AAR is among the leading medical insurer in the county with 15 branches and about 120, 000 customers.