NAIROBI, Kenya, Mar 11 – The Insurance Regulatory Authority (IRA) has placed KUSCCO Mutual Assurance Limited under statutory management citing risks to policyholders and the public.
In a notice, the regulator said the action took effect on March 10, 2026, in accordance with Section 67C(2)(i) of the Insurance Act, which empowers it to take over the management of insurers facing financial instability or regulatory breaches.
IRA has appointed the Policyholders Compensation Fund (PCF) as the statutory manager to take control of the company’s affairs.
“KUSCCO Mutual Assurance Limited is not authorised to enter into any new insurance contracts from March 11, 2026,” the authority said in the notice.
Under statutory management, the appointed manager assumes full control of the insurer’s operations, including administration and oversight of its financial affairs.
The move comes days after the Retirement Benefits Authority (RBA) renewed the firm’s licence to continue administering pension schemes under the Retirement Benefits Act.
KUSCCO Mutual Assurance provides pension administration services mainly to retirement schemes linked to the savings and credit cooperative sector.
The action also comes as investigations continue into alleged financial mismanagement at the Kenya Union of Savings and Credit Co-operatives (KUSCCO), where senior executives are accused of presiding over the loss of about Sh15 billion belonging to depositors and cooperative societies.
The scandal has triggered scrutiny from regulators and lawmakers over governance and oversight within the umbrella body representing hundreds of Saccos across the country.
