How to Choose the Best Motor Vehicle Insurance in Kenya

Your car is one of your most valuable possessions. And like any other investment, the need to protect it against risk cannot be overstated. The best motor vehicle insurance covers your car against loss or damage or any legal liability that may arise from its use.

The minimum motor vehicle insurance required in Kenya is the Third Party Only (TPO) cover. But this cover only protects the other person (a third party), leaving you to pay for any loss or damage to your car.

To ensure you have adequate insurance coverage for your car, here are a few factors to consider whether you are buying insurance for your new vehicle or renewing an existing policy.

What to Consider When Looking for the Best Motor Vehicle Insurance

How do you use your car?

How you use your vehicle determines the type of insurance you can buy. For instance, you will need Motor Private insurance for a personal car and Motor Commercial insurance for a commercial vehicle.

Motor Trade insurance covers risks to which owners of motor vehicle garages and showrooms are exposed. Special vehicles like excavators, cranes, hearses, and ambulances can also get special motor vehicle insurance to cover their specific risks.

Know your coverage options

There are three main types of motor vehicle insurance coverages in Kenya: third party only (TPO), third party fire and theft (TPFT), and comprehensive.

The TPO cover compensates a third party (another person other than you or your household) in case of a loss or damage that you may cause from using your vehicle. It doesn’t protect your vehicle in any way.

TPFT extends the TPO coverage to include loss or destruction of your vehicle resulting from fire or theft.

The comprehensive cover is the most detailed of the three. It extends the coverage under TPFT to include accidental loss or damage and malicious damages to your vehicle.

Read Next: Third Party Only (TPO) Motor Private Insurance in Kenya & How to Buy Today

Determine the actual value of your car

It is advisable to get the actual value of your car before buying insurance. This goes a long way to ensure you have adequate coverage. Valuing your vehicle is also a mandatory prerequisite for many insurers.

The value of your car determines the amount of premium you will pay for your auto insurance. As such, if you overstate its value, you will end up paying more for your insurance. On the other hand, undervaluing your vehicle will mean less compensation in case of a loss.

Compare quotes from different insurance companies

Get premium quotations from different insurers before settling on any one of them. Besides comparing the scope of cover, you may end up saving on your insurance. The best way to get competitive quotes is using independent brokers and agents like Divani.

In addition to helping you get the best terms in the market, agents also have information about the best insurance companies regarding customer support and claims settlement.

You’ll usually need to provide the following information when requesting a quotation: the value of your car (to be valued later), its year of manufacture, its use (private or commercial), and your preferred coverage (comprehensive or TPO).

Ask for additional benefits

You can buy additional benefits when you get a comprehensive insurance cover for your vehicle. These benefits, also known as policy extensions, help provide coverage otherwise not included in a traditional policy. Examples include:

Windscreen cover – an option to increase the benefit limit (amount of coverage) provided for your windscreen at an additional premium.

Courtesy car – this benefit hires you a vehicle to use while yours is in the garage for repairs. It’s also known as loss of use benefit and only applied to Motor Private insurance.

Excess protector – with this benefit, you will not be required to pay a portion of the loss before the insurance company pays your claim. Insurers use excesses to discourage claiming small losses and to manage claim fraud.

Roadside rescue – from the name, this benefit comes in handy in such cases as mechanical damages to your vehicle.

Read Next: Motor Vehicle Insurance in Kenya (Explained)

Conclusion

Loss of or damage to your vehicle can set you back financially. That is why having adequate coverage for such risks is imperative. It is easy to opt for the cheapest TPO cover for your car, but its downsides will be evident in case of a claim.