ADVOKS GLOBAL · KENYA
Insurance Act
92. Treatment of debts on grant of paid-up policies
Edition: 2023-12-11 · In force
92. Treatment of debts on grant of paid-up policies
Where in pursuance of any provision in this Part a policy-holder is entitled to receive, or an insurer is required to grant, a paid up policy and there is any debt owing to the insurer under or secured by the policy, the insurer may elect—(a)to treat the debt so owing as a debt secured by the paid up policy and thereupon the paid up policy shall be a security for the debt so owing; or(b)in the ascertainment of the amount of the paid up policy, to reduce the amount by taking into account, upon a basis approved by the Commissioner, the debt so owing to the insurer, and thereupon the debt shall cease to be owing to the insurer.