Britam Connect has paid KSh20.5 million in flood insurance compensation to 3,038 households in Tana River County following severe flooding during Kenya’s March-to-May 2026 long-rains season.
The inclusive insurance arm of Britam Holdings Plc used satellite data to determine the compensation after river levels in the insured areas rose to nearly four times their normal levels, exceeding the threshold set in the insurance policy.
The floods displaced more than 3,127 families in parts of Tana River County, submerged homes and farms, and disrupted access to essential services. Many affected households rely on livestock keeping, small-scale farming and casual labour, leaving them vulnerable when floods damage property and interrupt their income.
Britam Connect Chief Executive Officer Evah Kimani said the payments would help insured families recover and prepare for future climate-related disasters.
“Floods can destroy the assets and income families depend on, with consequences that extend well beyond the rainy season,” Kimani said, adding that the company wanted to make insurance affordable and accessible to communities repeatedly affected by extreme weather.
The payments cover households in Sala, Chewele and Madogo wards under Britam Mafuriko, a programme delivered through the Index-Based Flood Insurance (IBFI) project.
Unlike traditional insurance, which often requires individual inspections to assess losses, the product uses satellite imagery, data modelling and predetermined river-flow levels to establish when compensation becomes payable. Once river flows exceed the agreed threshold, the policy triggers a payout without requiring separate inspections of each household’s losses.
Britam determined the final compensation after the long-rains season ended and the March-to-May river-flow data became available. The company then calculated the payments and verified eligible beneficiaries. The policy covers the highest qualifying flood event recorded during the season.
With forecasts indicating increased El Niño-related rainfall risks during the October-to-December short-rains season, the current cover will remain active until February 2027. Insured households could receive additional compensation if river flows exceed the agreed threshold, subject to the policy terms.
The initiative builds on a 2023 pilot involving Britam, Oxfam in Kenya, Risk Shield in Zambia and global reinsurer Swiss Re. During the pilot, 300 households in Madogo Ward received KSh15 million following flooding in the Upper Tana region.
The programme also encourages households to contribute towards their insurance premiums instead of relying entirely on subsidies. Arid Lands Development Focus (ALDEF), the local delivery partner, supports community engagement, implementation and beneficiary verification.
The project brings together Britam, Risk Shield, ALDEF, Oxfam in Kenya and the Tana River County Government. The InsuResilience Solutions Fund provides the main funding, alongside premium subsidies from the fund and Humanity Insured for the 2026–2027 programme. The fund receives support from Germany’s BMZ, while KfW and Frankfurt School of Finance & Management support its implementation and management.