The enactment of the Insurance Professionals Act, 2025 marks a defining moment for Kenya’s insurance industry, juxtaposing an evolving marketplace with a renewed commitment to competence, ethics, and continuous development.
At its core, the Act establishes two key institutions: the Insurance Institute of Kenya (IIK) and the Insurance Professionals Examinations Board (IPEB). Together, these bodies are mandated to oversee the examination, registration, and regulation of insurance professionals across the country.
This structure is a bold statement of intent, one that ensures insurance practice in Kenya is steered by merit, regulated by integrity, and measured by global standards. To understand its impact, it is essential to examine what the Act introduces and how it seeks to lift professional standards across the sector.
For years, the insurance industry has grappled with misconceptions and mistrust, often rooted in inconsistent practices and limited regulatory oversight of individual practitioners.
The new Act directly addresses this by introducing practicing certificates, defined qualifications, and a transparent code of conduct.
These measures go beyond administrative adjustments; they represent a fundamental shift aimed at rebuilding public confidence.
When the consumers are served by certified professionals bound by a uniform code of ethics, they are more likely to trust the process, honour their policies, and view insurance as a reliable partner in financial security.
A key pillar of the Act is continuous professional development, a requirement that ensures practitioners remain informed, agile, and competent in a rapidly evolving market. Insurance today operates in an environment shaped by digital disruption, emerging risks, and new customer expectations.
By institutionalising ongoing learning, the Act guarantees that every practitioner — from insurance marketers, brokers, and agents to underwriters, claims managers, loss adjusters, risk managers, and assessors — remains current with modern practices, regulatory updates, and technological innovations.
This commitment to lifelong learning will not only elevate service quality but also create a workforce capable of competing at regional and global levels.
Beyond professional development, the Act serves as a catalyst for broader sectoral growth. Clear standards and stronger accountability frameworks will attract both local and international investors, positioning Kenya as a leading insurance hub in the region.
Moreover, as professionalism deepens, we can anticipate more robust partnerships between insurers, healthcare providers, and technology firms. This will enable the creation of innovative products and efficient distribution models tailored to the dynamic needs of consumers.
While the Act sets a solid foundation for transformation, the professionalisation journey will not be without its challenges. Compliance with new regulatory requirements, adapting to digital transformation, and addressing workforce gaps, particularly in specialised fields, will demand strategic alignment and investment in the institutions.
However, these challenges present an opportunity for growth. Forward-thinking organisations will view compliance not as a burden but as a chance to refine their systems, strengthen governance, and embrace innovation. In the long run, those who invest in professional development and digital readiness will emerge as leaders in this new landscape.
The Insurance Professionals Act, 2025, is a call to action for every stakeholder. Regulators, insurers, brokers, and training institutions must work in concert to ensure the Act’s provisions translate into tangible outcomes: greater trust, better service, and sustained industry growth.
The writer is the Manager, Technical Services & Client Experience at Laser Insurance Brokers (LIB) - a Kenya-based insurance broker and medical insurance provider dedicated to delivering cost-effective, innovative general, life, motor, and health insurance solutions
