Fake Insurance Covers a Major Challenge in the Transport Industry, Police Reveal

NAIROBI Kenya July 10 -Deputy Inspector General of Police Douglas Kanja has warned that fake insurance covers continue to pose a challenge in the transport industry.

The police boss said this fraud places innocent citizens at risk of non-compensation, even for very deserving cases.

DIG Kanja added that the National Police Insurance Fraud Investigations Unit has helped with surveillance of insurance companies and brokers.

“Without such oversight, victims’ compensation would be abused to the benefit of fraudsters, with huge financial losses to the insurance companies,” he said.

He said the public must be protected from unscrupulous dealers and insurers need protection from fraudsters who may want to take advantage of the ready cash paid as compensation, through falsified claims.

“Collaboration between police and the insurance industry in fighting insurance fraud is, therefore, very necessary,” he added.

Competitors in the motor insurance industry are currently in a state of cut-throat competition where some are offering genuinely attractive packages, while others offer rather questionable deals.

Kanja made the remarks in a speech read on his behalf by the Traffic Liaison Officer at police headquarters, Edward Mwamburi, during a meeting of traffic officers organized by Directline Assurance in Nairobi on Monday, July 10.

Directline Assurance officials said they have fraudsters selling fake insurance covers to the public, which is an emerging threat especially to the digital covers in the industry placing innocent Kenyans at risk.

“To this end, we urge the public to ensure that they confirm that the insurance certificates displayed on their vehicles are genuine by sending a text message with your vehicle’s registration number to 23454,” the company official said.

Pedestrians, the company said, have also greatly contributed to accidents by crossing the road at undesignated places.

Directline Assurance has collaborated with the NPS for the last 17 years to curb and ensure only legitimate claims and claimants are compensated.

Meanwhile, Kanja said anew system is being developed to help police manage accident scenes in the country.

He revealed efforts are underway to develop a Crush Data System at the National Transport and Safety Authority (NTSA), with which responding officers will be able to enter and transmit accident data through police channels in real-time.

“More so, the National Police Service is working with JICA on Strengthening of Safe System Approach to Road Traffic Accidents,” he said.

According to the police boss, the system will ultimately make management of accidents simple, detailed, easily analyzed, securely stored and seamlessly disseminated.

Kanja said such initiatives give the police an opportunity to render unmatched policing services to all.

Management of accident scenes by various actors has been an issue of concern to many as it leads to more deaths and damages.

He said motor vehicle insurance is a major service meant to protect operators from liability incurred by use of their motor vehicles.

Kanja said over the years, the government has invested a lot in improving management of traffic operations.

For example, installation of the IC3 system was a game changer in efficient traffic control and investigation, especially in Nairobi and Mombasa cities.