Directline Assurance has moved to address widespread speculation regarding its operations.
In a statement dated Monday, September 22, the company reassured its customers and business partners that it remains stable and fully operational despite ongoing shareholder disputes.
"The Board of Directors and Management of Directline Assurance Company would like to reassure all its stakeholders including; its customers, intermediaries and business partners, that it is business as usual at the Company," the statement read.
Directline further addressed concerns surrounding a dispute among shareholders, clarifying that the matter is currently in court.
"This assurance comes amid an ongoing shareholder dispute currently before the courts. Directline continues to fully comply with all legal processes related to the matter and remains committed to upholding the highest standards of governance and service delivery," the statement added.
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Directline also highlighted its recent record in handling customer claims, emphasizing its commitment to fulfilling obligations despite the disputes at board level.
"The Board reaffirms that Directline Assurance remains fully operational, actively issuing insurance covers and settling all valid claims. As of mid-September 2025, the Company had settled claims amounting to Ksh1.47 billion," the statement concluded.
The statement comes after Royal Media Services (RMS) Chairman S.K. Macharia, who is a majority shareholder of Directline Assurance, reportedly stormed the company's offices, fired senior officials and announced new leadership.
According to media reports, Macharia named Wilson Wambugu Maina as the acting Chief Executive Officer, firing Sammy Kanyi.
He also appointed Stella Kinoti as the Chief Finance Officer, with Elizabeth Kuria taking up the role of her assistant, while James Mari will serve as the Information Technology Manager.
Macharia directed that the new appointments take effect immediately.
This comes months after the Insurance Regulatory Authority (IRA) rejected Macharia's decision to close the operations of Directline Assurance.
In a statement on Tuesday, June 11, the regulatory authority termed Macharia’s move to close the company and transfer assets to a third party as null and void.
"The purported actions are null and devoid of any legal effect and as such the insurer continues in full operation as licensed and approved by the Authority. The purported transfer of the assets of the insurer to any third party is therefore null and void ab initio," read the statement in part.
IRA noted that all the policies issued by Directline Assurance remain in full force and effect and the insurer remains liable for any claims arising therefrom.
"All policyholders of the insurer may continue with their operations in accordance with their insurance contracts," the statement added.
IRA noted that it has the sole statutory mandate to approve, suspend or cancel the operations of any insurance company in Kenya and the duty cannot be usurped by any unauthorized party.
"The Authority will take necessary steps as may be appropriate, pursuant to the provisions of the Insurance Act, CAP 487 Laws of Kenya, to ensure sustainability of the insurer and protection of insurance policyholders' interests," the statement further read.
