• By Raymond Momanyi

Car Insurance in Kenya | 10 Important Facts for Motorists

Learn 10 important facts about car insurance in Kenya, including Third Party, Comprehensive cover, excesses, vehicle use, valuations, claims, digital certificates and how to compare quotes.

Car Insurance in Kenya: 10 Important Facts Every Vehicle Owner Should Know

Car Insurance in Kenya is more than a certificate placed on a vehicle.

The type of cover you choose can determine whether you are protected only against third-party liabilities or whether your own vehicle is also covered against risks such as accidental damage, theft and fire.

Before buying or renewing Motor Insurance, it is important to understand how the policy works, what affects the premium and what can create problems when a claim occurs.

Here are 10 important facts every vehicle owner in Kenya should know.

For quotations and Motor Insurance comparison:

www.imana.co.ke

www.mykava.co.ke

1. Third-Party Motor Insurance Is the Basic Legal Requirement

Kenyan motorists are required to maintain the applicable insurance against prescribed third-party risks when using qualifying vehicles on public roads.

Third-Party Only Motor Insurance is therefore the basic level of Motor Insurance.

It generally protects against covered liabilities involving:

• Third-party bodily injury
• Third-party death
• Third-party property damage, subject to applicable policy terms and limits

However, Third-Party Only does not ordinarily pay for accidental damage to your own vehicle.

That distinction is important.

A motorist can be legally insured against third-party risks while still having no insurance protection for repair costs to their own vehicle.

2. Comprehensive Insurance Does Not Mean “Everything Is Covered”

The word Comprehensive is often misunderstood.

Comprehensive Motor Insurance may cover:

• Accidental damage to the insured vehicle
• Theft
• Fire
• Third-party liabilities

But the policy still contains:

• Terms
• Conditions
• Exclusions
• Excesses
• Limits

Optional extensions may also need to be added separately.

These can include:

• Excess Protector
• Political Violence and Terrorism
• Windscreen
• Road rescue
• Courtesy car
• Personal Accident

A Comprehensive policy is therefore broader than Third Party Only, but it is not unlimited insurance.

3. The Cheapest Premium Is Not Automatically the Best Policy

Motor Insurance quotations can vary between insurers.

One quotation may appear cheaper because it has:

• Higher excesses
• Fewer extensions
• More restrictive conditions
• Different repair arrangements
• Lower optional benefits

That means motorists should not compare Motor Insurance on premium alone.

A better comparison considers:

Premium + excess + benefits + exclusions + vehicle classification + claims terms.

The objective is not simply to find the lowest price.

It is to find suitable protection at a competitive cost.

4. Your Vehicle Must Be Insured According to Its Actual Use

One of the most important Motor Insurance principles is correct vehicle classification.

A vehicle may be used as:

• Private
• Commercial
• Taxi
• Ride-hailing
• Matatu
• Bus
• School bus
• Tour vehicle
• Other passenger or business use

A private vehicle should not be insured as private if it is actually being used to carry fare-paying passengers.

Likewise, a commercial pickup should be declared according to its real business use.

Incorrect or undisclosed vehicle use can materially affect insurance coverage and may result in a claim being declined depending on the circumstances and policy terms.

When requesting a quotation, always state the actual use of the vehicle.

5. Car Insurance Prices Depend on More Than Vehicle Value

There is no single Motor Insurance price that applies to every vehicle in Kenya.

Pricing can depend on:

• Vehicle value
• Vehicle age
• Type of cover
• Actual use
• Claims history
• Vehicle category
• Selected extensions
• Insurer underwriting appetite

Third-Party Only generally costs less because it does not ordinarily cover accidental damage to the insured vehicle itself.

Comprehensive Motor Insurance is commonly priced in relation to the vehicle value, subject to minimum premiums and insurer-specific underwriting terms.

Published prices should therefore be treated as indicative, not guaranteed.

Always request a current written quotation.

6. Vehicle Valuation Matters for Comprehensive Insurance

If you are buying Comprehensive Motor Insurance, the insured value should reasonably reflect the current market value of the vehicle.

Why does this matter?

If a vehicle is significantly underinsured, the amount recoverable after a claim may be affected depending on the policy terms.

If it is overvalued, the insurer does not necessarily pay the inflated amount after a total loss.

The principle of indemnity generally aims to restore the insured to the financial position they were in immediately before the loss, subject to the policy.

A current valuation may therefore be required or advisable.

Before renewal, ask:

Does my insured value still reflect the vehicle’s current market value?

7. Excess Is the Amount You May Have to Bear During a Claim

Many motorists focus on the premium and overlook the excess.

An excess is the amount the insured may be required to contribute toward an admissible claim.

Different excesses can apply in different circumstances.

Examples may include:

• Basic excess
• Theft excess
• Young-driver excess
• Inexperienced-driver excess
• Windscreen excess

This means two Comprehensive policies with similar premiums may still expose the customer to very different out-of-pocket costs.

Before buying, request the excess schedule.

8. Excess Protector and PVT May Not Be Automatically Included

Some Motor Insurance benefits are optional extensions rather than standard inclusions.

Two common examples are:

Excess Protector

This may reduce or remove certain excess amounts under specified circumstances, depending on the insurer and policy.

Political Violence and Terrorism

PVT can extend cover for specified risks associated with political violence and terrorism, subject to terms.

Motorists should not assume these extensions are included simply because the policy is Comprehensive.

Ask:

Is it included, optional or excluded?

That question can prevent misunderstandings later.

9. Insurance Claims Depend on Documentation and Policy Compliance

Having insurance does not mean every claim is automatically payable.

After an accident, the insured may need to:

• Notify the insurer or intermediary promptly
• Report the accident to police where applicable
• Obtain the relevant police documentation
• Complete a claim form
• Provide the logbook
• Provide the driving licence
• Submit photographs or other evidence
• Present the vehicle for assessment
• Cooperate with the insurer’s investigation

The insurer or underwriter ultimately determines whether the claim is admissible and settles it according to the policy terms.

An insurance intermediary such as Imana can assist with documentation, communication and follow-up, but the insurer remains responsible for the claims decision and settlement.

10. Motor Insurance Can Be Arranged Digitally

A Motor Insurance quotation does not necessarily require multiple physical visits to insurer offices.

Depending on the insurer and risk, much of the process can be handled digitally.

A typical process may involve:

1. Sharing vehicle details
2. Providing identification and ownership documents
3. Confirming vehicle use
4. Receiving quotations
5. Selecting the preferred option
6. Making payment through an approved channel
7. Receiving the insurance certificate or policy documentation digitally

Digital issuance can often be completed quickly once documentation, payment and underwriting requirements have been satisfied.

However, processing time varies by insurer, vehicle type and system availability.

It should not be treated as a guaranteed fixed turnaround time.

Third Party vs Comprehensive: Which One Should You Choose?

The correct choice depends on your vehicle and your financial situation.

Third Party Only may suit you if:

• Your vehicle has a relatively low market value
• You mainly want statutory third-party protection
• You can afford to repair your own car after an accident
• Budget is the main consideration

Comprehensive may suit you if:

• The vehicle still has significant value
• You cannot comfortably finance major repairs
• Theft or accidental damage would create a major financial loss
• The vehicle is financed
• You want broader protection

Neither option is automatically right for everyone.

Should You Compare Motor Insurance Before Renewing?

Yes.

Renewal should not be automatic simply because you used the same insurer last year.

Before renewing, review:

• Vehicle value
• Premium
• Excess
• Extensions
• Claims history
• Vehicle use
• Current insurer terms
• Available alternatives

A vehicle that was worth KSh 4 million several years ago may no longer have the same market value.

Likewise, your vehicle use may have changed from private to commercial or passenger-carrying.

Renewal is a good time to correct these issues.

Common Motor Insurance Mistakes to Avoid

The most common problems are often preventable.

Avoid:

• Buying only on price
• Using the wrong vehicle classification
• Failing to read the excess
• Assuming all Comprehensive policies are identical
• Assuming every extension is included
• Using an outdated vehicle value
• Delaying accident notification
• Failing to disclose material information

Insurance works best when the policy accurately reflects the risk.

How to Compare Car Insurance in Kenya

A practical comparison should answer seven questions.

1. What is the premium?

What will you actually pay?

2. What is covered?

Third Party, Third Party Fire and Theft or Comprehensive?

3. What excess applies?

How much might you contribute during a claim?

4. What extensions are included?

PVT, Excess Protector, windscreen, road rescue or other benefits?

5. Is the vehicle correctly classified?

Private, commercial, PSV or another category?

6. What are the exclusions?

What events or circumstances are outside the policy?

7. What is the claims process?

What must you do if an accident occurs?

That is a much stronger way to compare Motor Insurance than simply asking:

“Which one is cheapest?”

Why Compare Through Imana Insurance Agency Kenya Ltd?

Imana Insurance Agency Kenya Ltd helps motorists compare available Motor Insurance options before selecting cover.

Imana can assist with:

• Private Motor Insurance
• Commercial Motor Insurance
• PSV Insurance
• Motorcycle Insurance
• Third-Party Only
• Comprehensive Motor Insurance
• Short-term Motor Insurance where available
• COMESA Yellow Card
• Renewal support
• Claims documentation and follow-up

The purpose of comparison is to help the customer understand what they are buying before paying.

Frequently Asked Questions

How much is car insurance in Kenya?

The cost depends on vehicle type, value, use, cover type, insurer and selected benefits. Third Party Only generally costs less than Comprehensive Insurance.

Is Third Party Insurance compulsory?

Qualifying vehicles used on public roads must maintain the required insurance against prescribed third-party risks.

Does Comprehensive Insurance cover everything?

No. Comprehensive policies still contain exclusions, limits, excesses and conditions.

What is an insurance excess?

It is the amount the insured may be required to bear toward an admissible claim.

Do I need a vehicle valuation?

A valuation may be required or advisable for Comprehensive Motor Insurance, depending on the vehicle and insurer.

Can I insure an Uber or Bolt as a private car?

A vehicle carrying fare-paying passengers should be insured according to its actual use.

Can I buy Motor Insurance online?

Yes. Quotations, documentation, payment and policy issuance can often be handled digitally, subject to insurer requirements.

Should I compare quotes before renewal?

Yes. Vehicle value, premium, insurer terms and your actual vehicle use may have changed since the previous policy was issued.

Compare Car Insurance in Kenya with Imana

Motor Insurance should not be treated as a certificate-only purchase.

Before buying, understand:

the vehicle use

the insurer

the premium

the excess

the benefits

the exclusions

and the claims process

Imana Insurance Agency Kenya Ltd can help you compare available Motor Insurance options for private, commercial, PSV and motorcycle risks.

Website:
www.imana.co.ke

MyKava:
www.mykava.co.ke

WhatsApp:
+254 796 209 402 / +254 745 218 460

Author:
Raymond Momanyi – Founder & CEO, Imana Insurance Agency Kenya Ltd

Understand the risk. Compare the terms. Choose the right cover.

Motor Insurance premiums, underwriting appetite, policy benefits and terms can change. Always obtain a current written quotation and review the applicable policy wording before purchasing or renewing cover.