Matatu owners in Kisii have accused insurance companies of failing to pay compensation claims for proprietors and accident victims as awarded by the courts.
Gusii Matatu Welfare Association chairman George Monda said that due to the failure to pay, some of their vehicles have been auctioned cheaply.
“We are unhappy with insurance companies because they have been disregarding court directives to compensate us and accident victims,” Monda told the press in Kisii town.
Monda said some 20 vehicles have been impounded by auctioneers who sell those valued at Sh2 million at less than Sh400,000.
“Auctioneers have since sold 20 vehicles at throw-away prices and yet we pay our premiums promptly even in excess,” he said.
The chairman threatened to withdraw their vehicles from companies which do not obey court orders.
Monda said that they have been making losses from their businesses hence some are unable to service loans.
“We are not going to tolerate humiliation from the companies. We are soon going to hold a meeting to deliberate on the way forward,” he said.
The businessman called on politicians from the region to intervene and help them continue with their businesses.
The chairman also appealed to Interior CS Fred Matiang’i to intervene and compel the companies to pay them their claims.
(edited by O. Owino)