Petitioner Sues IRA and Attorney-General for Failing to Enforce Motor Insurance Laws

A public-spirited citizen has moved to the High Court accusing the Insurance Regulatory Authority (IRA) and the Attorney-General of failing to enforce insurance laws, thereby exposing motorists to unlawful executions, property seizures, and legal harassment despite holding valid insurance covers.

In his petition, Joseph Mwaura is seeking a declaration that any policyholder who had a valid motor vehicle insurance cover at the time of an accident cannot be held personally liable for court-issued judgments arising from such incidents.

He argues that Section 10(1) of the Insurance (Motor Vehicle Third Party Risks) Act, Cap. 405 places the full responsibility of settling decretal sums and related court costs on insurers—not motorists.

Mwaura wants the court to declare that any execution against a policyholder’s property under such circumstances is unconstitutional, unlawful, null and void.

READ ALSO: IRA Defends Handling of PSV Insurance Crisis Before Public Petitions Committee

Wants High Court to Compel IRA to Act

The petitioner also seeks orders compelling the IRA and the Attorney-General to:

• Establish and enforce mechanisms ensuring compliance with Section 10(1)

• Guarantee settlement of third-party decrees by insurers under liquidation or statutory management

• Protect policyholders from unlawful attachment of their property

According to Mwaura, despite the clarity of the law, regulators have failed to ensure that insurers honor judgments issued in third-party compensation cases.

“Despite the clear position of the law, the interested parties have failed to indemnify policyholders by paying decretal sums and incidental costs to the people entitled to benefit from such decrees,” he told the court.

Collapsed Insurance Firms at the Centre of the Dispute

The court has directed Mwaura to serve the petition on the IRA, the Attorney-General, and three collapsed insurers:

• Resolution Insurance

• Xplico Insurance

• Invesco Assurance

All three companies—which are currently under liquidation—are named as interested parties due to numerous outstanding claims owed to policyholders with valid insurance contracts at the time of their collapse.

Mwaura notes that once statutory managers took over, they imposed 12-month moratoriums that blocked compensation, leaving motorists vulnerable to:

• Harassment by auctioneers

• Property attachment

• The risk of civil jail

He argues that innocent motorists are being punished despite fulfilling their obligation to take out mandatory insurance.

Directline Insurance Also Highlighted

The petitioner further mentions Directline Insurance, a major insurer of public service vehicles and motorcycles, claiming the company is not paying claims as they fall due, despite remaining operational and continuing to issue policies.

He says this disparity between solvent and collapsed insurers shows a “systemic regulatory failure” by the IRA and the Attorney-General.

Next Court Date Set

The matter will be mentioned on February 25, 2026, for confirmation of compliance with service requirements and for further directions.

Mwaura warns that unless the court intervenes, thousands of policyholders will continue suffering unlawful executions in cases where insurers—rather than motorists—bear the legal responsibility for compensation.