Equity Group Holdings has announced that it has secured in principle approval from the Insurance Regulatory Authority (IRA) to set up a general insurance company.
The move follows the launch of its life insurance business, Equity Life Assurance Kenya (ELAK), last year. Citing milestones achieved by the life insurance business, the financial services group explained that it had now set its sights on a successful foray into general insurance.
According to Equity, ELAK secured a 2.97% share of the life insurance market in Kenya within 9 months, with Ksh4.1 million policies issued. ELAK posted Ksh281 million in profit after tax.
“The impact of the early success of the life insurance business inspired the Group Board to seek the General Insurance business license in the hope that Equity Insurance business will contribute in innovatively transforming the insurance industry for the betterment of our people, country and continent through insurance inclusion, affordability, reliability in protecting life, health and wealth under the tag line “The Insurance You Can Trust”,” the lender noted in a statement.
A new subsidiary will be established by Equity Group to run the general insurance business.
The Equity board announced the appointment of Jonas Mushosho as the inaugural chairman of the new venture, subject to IRA approval. Mushosho is currently the Insurance Trade Finance Program Coordinator at Afri Exim Bank.
Other positions Mushosho has held in the past include MD, Old Mutual Zimbabwe and Managing Director Old Mutual – Rest of Africa.
“We can now go the full mile to extend our solutions to our people to protect their health and wealth,” stated ELAK Managing Director Angela Okinda.
The new venture was announced by group CEO Dr. James Mwangi alongside results for the first quarter of 2023. Equity Group posted 8% growth in profit after tax to hit Ksh12.8 billion in Q1 2023.