Kenyan President Ruto’s family-linked Insurer now dominates 'Matatu' Market

A company with ties to President William Ruto’s family has taken the top spot in Kenya’s lucrative public service vehicle insurance market, displacing a rival long seen as untouchable.

Africa Merchant Assurance Company, better known as Amaco, has vaulted ahead of Directline Assurance, the insurer majority-owned by media baron Samuel Kamau “SK” Macharia. Regulatory figures show Amaco expanded its share of the matatu insurance segment to 37.51% last year, up sharply from 14.95% the year before. Directline’s piece of the market shrank to 47.97%, down from 61.56%.

Amaco’s haul of PSV premiums almost doubled over the same period, rising from Sh1.15 billion to Sh1.98 billion, while Directline saw about Sh860 million in business slip away.

Company records indicate that First Lady Rachel Ruto and her daughter Charlene hold a 15.83% stake in Amaco through Yegen Farms Limited, alongside other allies of the president.

Industry watchers say the shift didn’t happen overnight. Directline has been wrestling with shareholder disputes and regulatory scrutiny that dented customer confidence, creating an opening for Amaco to scoop up new clients.

Kenya’s matatus — privately owned minibuses that serve as the backbone of daily transport — are a critical part of the economy. Insuring them is big business. Amaco’s rapid climb is reshaping an industry where politics and commerce are never far apart.

Whether the newcomer can keep its lead or Directline stages a comeback will be a storyline closely followed by insurers, investors and the millions who depend on matatus every day.