Why Investing in Domestic Insurance is Important
Your home is your castle. It’s a safe and secure place where you can relax and make memories with friends and family. It’s also one of your most significant investments.
That’s why it’s essential to protect your property with homeowner’s insurance. So have you insured yours yet?
Statistics show that in Kenya, only about three percent of the structures and less than two percent of their contents are covered by a valid insurance policy despite the much risks involved.
According to CIC General Insurance managing director Elijah Wachira, house owners fail to renew their original policies written during the time they were issued loans.
Over 20 percent of property owners are said to be paying a mortgage but with uninsured houses.
In an event where such mortgages are destroyed, the owners will have to incur a significant loss for not ensuring such houses.
“When someone is taking a mortgage, banks normally ensure that one takes insurance, but this has to be renewed annually. Some people don’t renew the policies, and this is where problems come in,” said Mr. Wachira.
The insurance companies have also been relenting on having domestic insurance known to the investors.
There is a need for carrying out awareness campaigns and engaging the target customers and making them understand the risk involved.
“These low figures are a result of people not seeing the real risk that exists should something happen to the items in the house or those they carry outside it,” said Mr. Wachira.
Insurance companies also need to have a plan covering domestic workers so that when one gets injured or sick, the cover will assure his or her treatment.