If a vehicle is insured and a court orders its owner to pay an accident victim, the insurer must pay that award. It cannot get out of paying by simply claiming the insurance sticker was fake. The exception is where the insurer went to court in time and obtained the cancellation of the policy.
What the law says
Section 10 of the Insurance (Motor Vehicles Third Party Risks) Act (Cap 405) deals with this. If a court gives judgment against an insured person for a liability covered by a compulsory motor policy, the insurer must pay the judgment to the person entitled to it. This applies even if the insurer could have avoided or cancelled the policy.
In everyday terms, a motor policy is not only a promise to the car owner. It also protects the person who is hurt and who wins a court award. Once the court has ordered the owner to pay, the insurer’s duty to pay that award follows.
What about a “fake sticker”?
An insurer may say the sticker on the windscreen was not genuine. A bare allegation of that kind is not enough to avoid paying. To escape on that ground, the insurer must have gone to court in time to have the policy cancelled. If it did not take that formal step, the policy stands and the award is payable by the insurer.
A magistrate’s court applied this approach in Mwachia & another v Directline Assurance Company Ltd [2026] KEMC 1121 (KLR). It is a decision of a magistrate’s court, and an appeal is possible, so it is best read as one decision on how the rule was applied, not the last word.
Practical points
- If you have been awarded compensation after an accident, find out whether the vehicle was insured and keep a copy of the judgment.
- If an insurer says the sticker was fake, ask for its position in writing and keep every letter, email and message.
- If you are a vehicle owner, keep your policy documents and proof of payment safe, not only the sticker.
- Speak to an advocate about your own situation, because the facts of each case differ.
The main point is simple. An insurer cannot just say the sticker was fake and walk away from a court award. If it wanted to rely on that, it needed to go to court in time to cancel the policy.
📚 Mwachia & another v Directline Assurance Company Ltd [2026] KEMC 1121 (KLR)
Entertainment and general information, not legal advice. For advice on your own situation, speak to an advocate.