From Ksh29M Bid to Ksh42M Payment: Inside the CHAN 2024 Insurance Decision Raising Eyebrows

A high-value insurance arrangement linked to the African Nations Championship (CHAN) has raised fresh questions over procurement decisions within the Football Kenya Federation.

This follows the awarding of a Ksh42,406,815 contract to a newly registered firm, despite competing lower bids from established insurers.

The Confederation of African Football (Confederation of African Football) had set a strict requirement for host nations Kenya, Uganda, and Tanzania to secure a civil liability cover of $30 million, approximately Ksh3.8 billion, before staging the tournament.

According to documents and correspondence cited by Mozzart Sport, FKF’s then-suspended CEO Harold Ndege confirmed that the federation had obtained quotations from Takaful Insurance, Old Mutual, and Britam to meet the CAF requirement.

The quotes were based on the Ksh3.8 billion coverage threshold and included employee-related protection for both CAF and Local Organising Committee staff. Britam reportedly offered the lowest bid at $226,013, equivalent to Ksh29,155,677.

Despite these structured proposals from established firms, the process later shifted away from the initial bidders.

On August 4, 2025, FKF proceeded to authorise a payment of $328,735, equivalent to Ksh42,406,815, to a different insurance brokerage firm.

Records show the company had only been registered on June 25, 2025, and had a limited operational footprint at the time of the award, raising concerns about experience, capacity, and due diligence in handling a high-value international sporting contract.

Nicholas Musonye, who chaired the CHAN Local Organising Committee, confirmed that the tournament met CAF insurance requirements and proceeded without interruption.

However, he declined to disclose the identity of the contracted insurer, noting only that the Ksh3.8 billion coverage requirement had been fully satisfied.

“CAF would not have allowed the tournament to go ahead without the insurance coverage. It was a key requirement,” Musonye revealed when he was questioned.

While the headline figures, the Ksh3.8 billion CAF requirement, the Ksh29,155,677 lowest bid, and the final Ksh42,406,815 payment, dominate attention, the broader issue now being examined is the transparency and justification behind the procurement decision.