26 Jul Car Insurance Kenya – Types Of Private Motor Vehicle Covers
What is Car Insurance or Private Motor Vehicle Insurance Kenya?
Motor Insurance(Private motor vehicle) or Car Insurance Kenya is a mandatory insurance policy for Kenyans that insures the vehicle owners of native place from the financial loss, as a result, of any accident, theft or damage to the vehicle.
A theft relative to a vehicle is a relatively frequent situation (more than 300 vehicles are stolen every day in Kenya) and particularly detrimental in financial terms. Whether it is a burglary of its external elements or its contents or even the theft of the vehicle itself, any driver is exposed to this type of disaster. It turns out that a simple break-in requires repairs amounting to several hundred Ksh.
A private motor vehicle insurance broadly covers three types of vehicles, the two-wheelers, three-wheelers, and four-wheelers like scooters, private cars, jeeps, buses, trucks, commercial taxis and such other vehicles.
However, it needs to be noted that one should choose the best car insurance in kenya based on one’s requirements.
When looking for suitable auto insurance, the question of the types of car insurance first arises. It depends primarily on the guarantees you want to personally subscribe, besides insurance is mandatory, there is also various optional insurance rates, terms, and conditions of an insurance policy. Finding the best car insurance is not that complicated, but you still need to know which car to insure!
Based on all these factors, car insurance companies in Kenya offer various insurance policies.
Everyone wants to insure the car for a favorably affordable price. It is important to first know the right insurance company, car insurance rates, terms, and conditions of an insurance policy and types of car for which you are thinking to buy an insurance.
Based on all these factors, there are various insurance policies offered by car insurance companies in Kenya.
Let’s go through the different types of car insurance covers to understand this:
Nowadays, car manufacturing companies are tying up bonds with the leading insurance companies to earn profits. This also heads towards customers benefits.
So if you buy a new car and get your car insured by their recommended insurers then you may get huge discounts. This way you can get quick insurance and also make huge savings.
Thus, the collaboration of car insurance companies with automobile manufacturers has resulted in a simpler process for a safe and easy-to-get insurance plans.
And in case, you already own a vehicle, then before getting an insurance quote, it’s worth looking at how much it will cost to insure your car for each level of cover before you buy.
Generally, there are three types of motor insurance in Kenya.
All the three categories of private motor insurance in Kenya provide different levels of covers to the insured and it all depends on the insurance policy norms of the company.
Car insurance Kenya covers fall into three main categories.
- Third-Party Cover
- Third-Party Theft & Fire
- Comprehensive Cover
This is the basic level of insurance and the minimum tier cover offered by any insurance company in Kenya.
Third-Party Cover is considered as mandatory legal coverage which every motorist must purchase for his vehicle.
Third-party car insurance cover protects the motorist from the liabilities by third-party if he gets into an accident.
The insurance policy protects the third party from any type of physical damage to the car, bodily injuries but it does not protect the owner from any type of physical or financial loss, the owner is himself responsible for the loss or damage he is deemed to be a part of.
For Example – While driving, if you cause an accident which leads to injuring a third person along with the damage to the car. Such an accident even if it is deemed to be your fault, Here comes the role of this type of insurance. This insurance will cover you against:
- Repairing Expense of third-party vehicle
- Physical or bodily injury to the third party person.
Third party coverage does not protect you or your vehicle in any case. You are responsible for your own damage or repairing cost.
Once the insured has agreed to cover the damage he would cause (motor vehicle liability) and the injuries he may suffer (bodily injury of the driver), he must think to protect his vehicle.
Personal Accident Cover to Owner
If you cause an accident which leads to injuring a third person along with the damage to the car. Such an accident even if it is deemed to be your fault, Here comes the role of this type of insurance. This insurance will cover you against:
Damage to property: in case you have caused serious damage to the property of a third party in an unfortunate accident, then you do not have to worry about the expenses arising from the misfortune. The third party insurance ensures that the insurer will pay the damages to third parties. Therefore, the insured can leave complicated accident situations.
Note: Third party auto insurance does not protect you or your vehicle, you are responsible for the repair costs of your vehicle.
Partial and permanent disability: sometimes, accidents generate disability. If the third party is subject to partial disabilities such as fractures and other disabilities, which may recover over time, then the insurer offers the necessary coverage in terms of medical expenses for the affected person. But, if the third party is subject to permanent disqualification, then the insurer offers a pre-insured sum to the third party.
Bodily injury: no matter how intense the injuries of a third party, medical coverage is offered for all types of bodily injuries. Next Insurance understands that accidents are caused unfortunately and these events cannot be controlled. Therefore, insurers effectively reduce the insured’s stress by offering them financial support.
So, these are the benefits included in third party insurance. The previous coverage offers great benefits for the insured during accidents or other inconveniences. However, this is just the tip of the iceberg.
Third-Party Theft & Fire:
This is the second tier of motor insurance offered by insurance companies in Kenya. A third-party theft & fire policy covers all financial risks offered by the third party only insurance plan along with two additional benefits.
As the name suggests, this insurance protects you against two major risks covered in this policy plan:
- Coverage against Theft
- Coverage Against Fire
Coverage against Theft:
The company will provide protection if your car is stolen or gets any damage as a result of an attempted theft.
For example – If a thief steals your car or breaks windows to steal any luggage from the car then you will be covered with the repairing cost.
Coverage Against Fire
This type of policy will provide covers if your car catches fire due to any reason.
The company replaces the car with a new one if car is destroyed as a result, the vehicle is caught in the fire or even destroyed as a result of the accident.
This is the top-level cover and the most protective coverage which you can get from your asset. In this tier of insurance policy, the insurance company offers a wide range of financial risks which a motorist may suffer through while involved in an accident or any incident.
The biggest advantage of comprehensive coverage policy is that a motorist is covered with third-party liability, third-party theft and fire and in addition, coverage from other incidents like the landslide, collision, natural disasters etc.
A Comprehensive car insurance in kenya covers the motorist for any kind of loss or damage along with the third party liability even if it is deemed to be his fault.
Such a cover is supposed to be expensive than other two types but it proves to be more beneficial. If you are planning to purchase a comprehensive policy for your vehicle but feeling hesitated due to cost then there are many smart ways to lower your car insurance premiums.
Comprehensive V/s Third Party
According to the needs and demands of drivers, insurance companies have increased their offer of comprehensive insurance, but not as complete as those that are called all risks.
Financial and Legal Assistance: After having third party insurance for your car, you do not need to worry about the legal problems associated with accidents. Remember, a third party insurance policy defends you safely in the event of an accident. You will not be subject to any of those courts if you have a valid comprehensive car insurance policy. Other than that, this policy covers you for the expenses associated with recovering the loss of a third party.
Profitability: if you think that comprehensive insurance policies are expensive, you’re wrong. Look, insurance premiums are specifically designed according to the comfort of all vehicle owner categories. The premium you have to pay is subject to the model and the engine capacity of your vehicle.
Compared to a comprehensive car insurance, the premiums of a third party insurance policy are quite low.
Online procurement procedures: to contract a third-party insurance plan for your car, you do not need to visit the official facilities of any insurer, since insurance plans can be used online. Insurance companies have specific web insurance portals to guarantee adequate plans to the owners of the vehicle.
The comprehensive insurance also offers the longer you drive for a long time without a claim, the lower the premium – and vice versa. The rule is always the following: the prices are different according to each insurance company in Kenya.
You can simply log in to Next Insurance, search for insurance plans and choose the best one according to your needs.
9 Car Insurance Tips You Should Follow
1.. While getting a car insurance quote, do not compromise with the car insurance plan at any cost. Any compromise with the insurance policy may turn out to be a huge loss in the long run.
2.. Depending upon the above mentioned benefits of different insurance plans, ensure yourself with the right insurance plan for your vehicle.
3.. Calculate premiums with the help of an online car insurance calculator.
4.. Check out for best car insurance companies in Kenya.
5.. Make a budget. If you find it easy and beneficial, go for online options.
6.. Compare insurance rates and get best car insurance quotes
7.. List up your requirements,
8..Checkout company reputation & its customer experience.
9.. Find the right car insurance company. Make a wise choice for the most lovable asset of your life.