Insurance banana skins in Kenya

Abstract

Risk is an aspect that ca n never be done away with. It is both upside and downside. Upside risks are opportunities. On the other hand, downside risks are a ca use of alarm to change things. This research sought out to look for the risks facing the insurance industry in Kenya as a replica of the insurance banana skins, 20 15 which was an initiative of Pwc in conjunction with CSF I. The risk s were looked at with respect to how they imp act the insurers in terms of profitability, growth, costs and solvency. Paper questionnaires and an online survey were used to get the responses from various s people in the industry. The rese arch revealed that regulation is the major risk affecting the industry following the recent changes made and implementations meant to be complied with by 2018. It has greatly affected the capital base of most insurers cutting down their profits greatly. Further study could be done with regards to including more industry players as well as tightening risk management in the industry.