Kenya Reinsurance Corporation reports solid full-year earnings

Kenya Reinsurance Corporation has recently released its full-year earnings, revealing a remarkable net profit of Ksh3 billion despite a turbulent operating environment. Michael Mbeshi, the Interim Managing Director, joined CNBC Africa to shed light on the corporation's success and future plans. Mbeshi attributed their solid performance to a focused approach in both the insurance and investment sectors. He highlighted a growth in gross premiums to approximately Ksh21 billion, which he attributed to innovative strategies post-COVID-19. Despite a rise in net claims, particularly from the agriculture business in India, Kenya Reinsurance Corporation remains optimistic about the future. The company plans to prioritize growth in Kenya and Africa, focusing on more profitable markets with less catastrophic risks than other continents. Mbeshi disclosed plans to expand in countries like Cote d'Ivoire, Zambia, and Uganda, while eyeing opportunities in Rwanda, Egypt, and Sudan. The corporation's digitalization efforts aim to streamline claims processes and improve access to insurance products, especially for younger generations. While acknowledging cybercrime risks, Mbeshi believes digitalization will ultimately spur growth in the insurance industry. Regarding recent demonstrations in Nairobi, Mbeshi assured minimal impact on Kenya Reinsurance Corporation as a business-to-business (B2B) entity with clients primarily composed of insurance companies. The corporation remains resilient and optimistic about its future prospects amidst evolving market dynamics and technological advancements.