Delayed Sh1.5bn payout pains families of fallen officers

The National Treasury is on the spot over its failure to release at least Sh1.5 billion owed to families of police officers killed in the line of duty despite the victims enjoying a State-financed comprehensive group life insurance cover.

This comes as it emerged that the Ministry of Interior has submitted a requisition with the exchequer department at the National Treasury seeking to release the disbursement.

In 2014, the government, through the ministry, procured Pioneer Insurance Company Limited at Sh3.5 billion to provide comprehensive group life insurance cover for National Police Service and Kenya Prisons Service officers. The award was to last for two years but has been extended ever since.

But a petition filed in the National Assembly by the affected families shows that the police officers who have died and those injured while in the line of duty since 2017 are yet to be compensated despite lodging claims.

PENDING BILLS

Although the award of the insurance cover has been a recurring audit query for the accounts of the national government for the financial years 2014/15 and 2015/16, the matter has since been settled.

The 2014/15 report of Auditor General Edward Ouko was adopted by the National Assembly in November 2018.

As of May 1, 2019, about 460 deaths of police officers had been reported but their families are yet to get compensation.

Over 1,200 other officers were injured during the time. The reported deaths and injuries are related to road accidents, gun shots and acts of terrorism, among others.

While speaking in Narok during the Madaraka Day celebrations on June 1, President Uhuru Kenyatta issued a directive that all pending bills incurred by national and county governments be cleared by end of this financial year.

PAYOUT

The contract document with Pioneer Insurance as captured by Mr Ouko’s report, says the group life insurance cover scope include: if an employee dies as a result of accidental and or occupational causes, the beneficiaries are entitled to a lumpsum payment of eight years basic salary - about Sh2 million per officer.

If a police officer suffers permanent and total disability from accidental or occupational causes, he or she shall be entitled to a lumpsum payment of eight years basic salary.

The cover for the funeral expense is Sh150,000 per employee to be settled within 24 hours on receipt of a burial permit.

“The policy has no exclusion whatsoever in respect of any cause of death,” the 2014/15 auditor general’s report passed by MPs last year says.

However, several victims have complained of being neglected by the government.

One such case is that of Mr Sammy Okello Odhiambo, who says that he has a problem with Pioneer Assurance.

DISBURSEMENT

He says his father Alfred Odhiambo Nundu worked as a police officer for 33 years and passed away in March 2018, but they are yet to be compensated.

“We lodged our claim last year, October 2018, and forwarded all the documents to Pioneer. Up to now, we have not been paid and my siblings are at home suffering,” Mr Odhiambo said.

“I have been forced to discontinue my education at KCA University since their office (Pioneer) failed to honour a commitment they made to pay my fees on time. Whenever I go to their office they say the government has not released the money,” he said.

Mr Moses Kimani, the Group chief executive officer of Pioneer Insurance Company limited had not responded to our queries by the time of going to press

Sources at Pioneer, who did not want to go on record, admitted that the families of affected officers have been thronging its offices to seek claims.

ACCOUNTABILITY

Mr Bernard Ndungu, Director General, Accounting Services at the National Treasury, however said that there is no outstanding exchequer request for Interior Ministry in respect to the police insurance claims.

“That falls under the Ministry of Interior where the police are domiciled,” Mr Ndungu said and referred as to the Interior Principal Secretary Karanja Kibicho, who did not respond to our inquiries.

When reached for comment, Inspector General of Police Hillary Mutyambai referred us to the Police Service spokesperson Charles Owino.

“I may not know what is going on now because nothing has come to me on that,” Mr Owino said.