Kenya’s newly introduced mandatory travel insurance requirement for international visitors has been slammed by a consumer watchdog, which warns the policy could deter tourists and make the destination less competitive.
The Consumers Federation of Kenya (COFEK) has backed a legal challenge seeking to suspend the government’s new Mandatory Inbound Travel Health Insurance Programme, arguing the scheme was introduced through an unfair and unconstitutional process.
The petition, filed at the Milimani High Court by Vantage Point Ventures and supported by COFEK, comes just weeks after Kenya introduced regulations requiring all foreign visitors to have approved travel health insurance with minimum cover of US$50,000 (around A$70,000).
The new requirement means travellers must hold insurance covering medical expenses, emergency medical evacuation and repatriation of remains before entering Kenya.
COFEK argues the mandatory policy could increase the cost and complexity of visiting Kenya, potentially discouraging international travellers and impacting tourism demand.
The consumer body is challenging the legality of the programme, which was established under Section 26(6) of the Social Health Insurance Act, 2023, claiming the implementation process lacked transparency, accountability and fair administrative procedures.
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The petition also alleges the scheme unfairly favours a small group of insurers, with Kenya Reinsurance Corporation allegedly positioned as the pool manager and other private insurers involved as intermediaries without an open and competitive procurement process.
Court documents claim the Insurance Regulatory Authority facilitated a predetermined commercial structure that benefited selected market players, while the Competition Authority of Kenya failed to investigate complaints alleging anti-competitive practices, including price-fixing, market allocation and exclusion of competing insurers.
Vantage Point Ventures claims it invested significant financial and technical resources developing a compliant travel insurance product but was excluded from the programme after its approval was allegedly withdrawn without clear or transparent reasons.
The petition is seeking orders to suspend implementation of the mandatory insurance scheme while the court considers the constitutional challenge, as well as disclosure of the criteria used to select participating insurers.
The case will return to the Milimani High Court on 29 September, when the court will consider whether the programme should be halted pending the outcome of the legal proceedings.
Kenya is a major tourism destination in East Africa, known for its safari experiences, beaches and cultural attractions, with the new insurance requirement representing a significant change to entry conditions for international visitors.
