NAIROBI, Kenya April 8-National Treasury is now proposing mandatory third-party insurance for motorcycles, commonly known as bodabodas and three-wheelers to cover and protect passengers in the event an accident occurs.
While presenting the 2022/2023 financial budget, Treasury CS Ukur Yatani stated that all passenger-carrying motorcycles and three wheelers’ dealers should obtain insurance that cushions passengers.
This will require legislators to amend the motor vehicles insurance rules to provide for the mandatory implementation of the proposal.
“Mr Speaker in the recent times, motorcycles and three-wheelers have increasingly been engaged in commercial fare-paying passengers business. Unfortunately, the number of accidents in this category of business has been on a steady increase yet the owners of the motorcycles don’t have insurance cover to cater for any treatment in case of injuries,” stated Yatani.
The law currently only provides for owners of motorcycles and three-wheelers for non-public services like leisure purposes to acquire third-party insurance.
With the rapid increase in population, there has been an influx of Bodaboda and three-wheelers across the country.I
In the incidences of accidents, most passengers go uncompensated and end up paying huge medical bills.
Motorcycle registrations have jumped from 210,103 units in 2019 to 246,705 units in 2020 plying across the country.
“In this respect I propose to amend the insurance regulation act to require motorcycles with fare paying passengers to require a motorcycle insurance,” Yatani stated.
In 2019, Former Treasury CS Henry Rotich had proposed that boda-boda riders and tuk-tuks should have a third-party insurance.
Parliament however rejected the Treasury’s push for the mandatory proposal citing lack of public participation in the changes.
Boda Boda Safety Association of Kenya had protested the move saying its unaffordable for its members and that insurance companies delay payment in most cases.
Parliament now left with the decision to amend the Insurance (Motor Vehicle Third Party Risks, Certificate of Insurance) regulations to require all passenger-carrying boda bodas and tuktuks to follow the new rules.
Experts have previously backed the proposals, arguing they will boost the confidence of millions of Kenyans who use boda bodas and tuktuks and other road users.
