Kwani how much will it cost for the extra premiums.
And how does this figure translate to fare increment. If Premium increase say by 50%,fare cannot be inceased by the same amount because there other factor like fuel which is major. I see these as a chance by the rogue Matatu operators to increase fare to gain themselves.

They give us a break.

I found the proposal very amusing.

(1) It means that Kenyan insurance companies are unable to assess risk hence charge the correct premiums. As long as actuaries do their work properly,and incorporate all factors including fraud,there would be no reason for insurance companies to put stop loss on accident cover.

(2) If indeed parliament passes that law and of course it wont,it will create room for new innovative players to come in and insure the excess over that 3m limit. While it will cost the insured's more,in the long run these new players will also encroach on the premiums covering the Sh 3m and insurance companies will become major losers.

(3) The Matutu Industry Assoaciation can and should for legislation that will allow them to start a captive insurance company that covers its members. Such a move will plough back gains to the owners of the matatus and promote discipline among the drivers.



Enough said,any partners out there willing to help MOA set up a captive? of course for a fee.