KRA’s new import rules: Will mandatory cargo insurance push up the cost of goods?
From November, shipments without valid digital marine insurance certificates will be blocked from customs clearance — and businesses want to know what that means for their costs.
By Collins Kibet
Kenya’s importers, clearing agents and businesses that depend on international supply chains are facing a tight deadline. From November 1, 2026, the Kenya Revenue Authority will block any imported consignment that lacks valid digital marine cargo insurance documentation from customs clearance — and the clock is already running.
The directive, reported on Thursday, emerged from a joint public notice issued by KRA and the Insurance Regulatory Authority. Under the new rules, incoming consignments must be covered by marine cargo insurance policies issued by IRA-licensed insurers. The relevant certificates must be processed through a designated Digital Marine Cargo Insurance system and successfully transmitted to the Integrated Customs Management System before customs declarations are lodged. Shipments that fail to meet these conditions will not be cleared — regardless of whether other import documents are in order.
For businesses accustomed to existing procedures, the adjustment will require a prompt review of their documentation processes, conversations with clearing agents and confirmation that their insurance arrangements meet the new digital requirements. A shipment arriving at a Kenyan port without the correct certificate transmitted in advance could face delays, storage costs and logistical complications that add up quickly.
The policy raises a legitimate question: will it strengthen trade compliance and protect importers, or will it simply add cost and friction to an already demanding import environment?
The case for the measure is straightforward. Marine cargo insurance provides financial protection against risks affecting goods in transit — covering not only sea freight but, depending on the policy, other stages of the international supply chain as well. Embedding the digital certificate in the clearance process creates an additional compliance checkpoint and ties insurance documentation directly to customs procedures, reducing the scope for undeclared or inadequately covered shipments to slip through.
The requirement also fits within a broader shift in how Kenya monitors imported goods. In August 2026, the Advance Cargo Declaration system was introduced for containerised shipments, requiring cargo information to be submitted before goods depart for Kenya. The two measures address different stages of the same process: advance declaration covers cargo information before arrival, while digital marine insurance covers proof of coverage before clearance. Together, they represent a more structured approach to import compliance and customs risk assessment.
The critical question, however, is whether the systems underpinning these reforms are ready. Digitalisation is only as effective as the infrastructure supporting it. If the Digital Marine Cargo Insurance system communicates reliably with the customs platform, insurance providers process applications promptly and importers receive clear, practical guidance, the new requirement could reduce paperwork disputes and make verification faster and more transparent.
If the process is complicated, poorly communicated or prone to technical failures, legitimate shipments could be held at the port while businesses absorb storage fees and supply chain delays — costs that rarely stay with the importer alone and have a way of finding their way to the consumer.
With just days remaining before the November 1 deadline, clarity from KRA and the IRA on the precise documentation required, the system’s readiness and the process for resolving technical failures will determine whether this reform strengthens Kenyan trade or simply adds another burden to it.
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