Kenya Human Rights Commission has sued Insurance Regulatory Authority over the increased insurance premiums for vehicles and exclusion of specific category from motor vehicle comprehensive cover.

It wants the court to issue an order suspending the said decision by insurance companies pending the hearing of the suit.

The NGO through its Executive Director Davis Malombe, says that a number of insurance companies through the media have publicly announced an increase of up to 50 per cent of premiums starting this year for Motor-Vehicle Comprehensive cover.

“A number of insurance companies have also announced that they will not offer a comprehensive insurance cover for motor vehicles which are older than 12 years or with a value of less than Sh600,000,” he notes in court documents.

It is their contention that considering the mandatory nature of motor vehicle insurance the said actions of insurance companies are discriminatory, unjustified and illegal.

“This is discriminatory since the said vehicles are still in use and without proper insurance; the said vehicles are a risk to the safety of the public and other road users,” Malombe says in court documents.

It is the NGOs argument that the said actions also amount to a violation of consumer rights and are punitive, insensitive and oppressive.

“Ordinarily premiums for the comprehensive cover are tabulated using a definite formula which was 4 per cent of the value of the motor vehicle. Any amount above this has to be justified and has to involve the public,” it claims.

The lobby group accuses the regulator of violating the fiduciary duty it owes to policy holders and the public in general for allowing  insurance companies to unjustifiably increase premiums up to 50 per cent with no public participation.

High Court Judge Anthony Mrima certified the matter urgent and directed it to be mentioned on January 12.