Business tycoon and Directline Assurance shareholder SK Macharia has once again shaken up the matatu insurer after he dismissed its chief executive and top leadership, heightening his clash with the Insurance Regulatory Authority (IRA).
On Monday morning, Macharia stormed into Directline’s Nairobi headquarters and removed chief executive officer Sammy Kanyi along with the head of finance.
This was despite a High Court order issued last year that barred him from accessing the insurer’s offices, hiring or firing staff, or carrying out financial transactions without board or shareholder consent.
Macharia, who insists he controls Directline through Royal Credit Limited, quickly unveiled a new leadership team, naming Wilson Wambugu Maina as acting chief executive, Stella Kinoti as chief finance officer, with Elizabeth Kuria as her deputy, and James Mari as ICT manager.
The shake-up deepened divisions among the board, management and staff at Directline, raising uncertainty for customers who had already contributed Sh1.27 billion in premiums in the first half of 2025.
During the same period, the firm paid Sh1.55 billion in claims and closed with a Sh1.4 billion net loss, according to IRA data.
Even as the fallout played out, the insurer sought to calm customers by issuing a press statement declaring that “it is business as usual” at the company despite the ongoing shareholder row before the courts.
The dramatic takeover attempt adds another twist to the long-standing ownership tussle pitting Macharia against other shareholders and the industry regulator.
The dispute has steadily eroded Directline’s dominance in the PSV insurance segment, where it was once the undisputed leader.
As of December 2023, Directline held 61.56 percent of the market, but its position has since weakened. IRA data show that by March 2025, Africa Merchant Assurance (Amaco), partly owned by President William Ruto’s family and associates, overtook Directline with 54.71 percent market share, up from 37.51 percent just three months earlier.
Directline’s share dropped sharply to 35.67 percent from 47.97 percent.
This was the first time Directline ceded the lead since the IRA began publishing PSV-specific market share data.
The ownership battle has also featured dramatic episodes, including Macharia last year secretly withdrawing Sh400 million from the insurer, transferring it to his real estate company, and announcing the dissolution of Directline’s board, firing of all employees, closure of the firm, and transfer of assets to Royal Credit.
The IRA later reversed the move through a court order, but the five-year dispute over Directline’s shareholding structure continues to play out in boardrooms, courts, and now on the company’s premises.
