This archive report was first published on 3 July 2019.
On July 3, 2019, the Insurance Regulatory Authority (IRA) foiled a Sh204 million fake insurance claim by a Nairobi-based businessman.
Anthony Maina Kiama, 29, had logged a false insurance claim with Sanlam General Insurance, purporting that his company, Afroplast Industries based in Thika, had lost its manufacturing machines in a fire incident last year.
However, investigations established that the machines destroyed in a fire incident in Thika belonged to a different entity registered as Josmak Company Limited.
Mr Kiama's case has been forwarded to the Office of the Director of Public Prosecutions (ODPP) with detectives keen on arraigning him once given the nod.
Sanlam Kenya Group CEO Patrick Tumbo said the firm has enhanced its internal fraud management systems to guard against the growing cases of fraudulent claims.
“Fraud is an industry-wide problem that continues to reduce operational profit and erode shareholder returns and we appreciate the support from IFIU. We are now vetting claims lodged with us, more stringently to weed out unscrupulous ones,” said Mr Tumbo.
