Would You Take an Insurance Cover to Protect Household Items?

It’s on a Friday evening, you've just had one of those long weeks and cannot wait to unwind at home. But instead of walking to a warm, cozy space, you are greeted by the echoes of an empty house. 

Your TV, laptop, and prized kitchen appliances are all gone, stolen in broad daylight. The police promise to investigate, but deep down, you know the chances of recovering your belongings are slim. Unfortunately, this isn’t just a story. 

It’s a lived experience by many Kenyans. Incidents of theft, fires, and accidental damage are all too common, and the costs of replacing stolen items can leave you financially crippled. That’s where household insurance steps in to offer protection and peace of mind.

Household insurance is an insurance policy that offers financial protection for your house and its contents against unexpected life events. The policy covers your building, including rental property, household contents, and domestic servants in accordance with the Work Injury Benefits Act (WIBA). In Kenya, household insurance is commonly referred to as domestic package or home insurance. The package is classified into various sections to meet the needs of each client. 

Do I actually need household insurance?

Whether you are a landlord, tenant, or homeowner, household insurance is crucial for protecting your property and possessions. Every day, your household items are exposed to risks that could result in significant loss or damage. Household insurance acts as a safeguard, helping you recover from these unforeseeable events.

In the event of theft, fire, or accidental damage, household insurance ensures you won’t bear the financial burden alone. Your insurer steps in to cover the costs of repairs or replacements, giving you the peace of mind to move forward with life without the overwhelming stress of starting over from scratch.

Beyond the basic coverage, household insurance offers flexibility. You can choose from different sections to create a policy that best suits your needs. Without insurance, the financial strain of replacing stolen or damaged items falls solely on you. The cost of replacing household items, especially in the event of a disaster, can quickly pile up.

Read Also: Would You Take an Insurance Cover That Pays You When You Lose Your Job?

Insurable Sections under Household Insurance

Section A- Building

Under this section, the insurance covers a private dwelling house against damage caused by fire. The cover extends to fixtures and fittings, staff quarters, gates, walls, and any fences related to the insured building. Residential apartments are also covered within this section. However, it is important to note that apartments used for trade purposes are insured under commercial fire insurance.

Section B- Contents

This section covers damage on household items such as furniture, clothing, kitchen ware, appliances, artwork and fittings caused by fire or burglary (theft through forceful entry or exit). It is crucial to register all your household contents when taking the insurance policy.

Section C-All risks

This section covers loss or damage of portable items such as your laptop, mobile phone, iPad and jewelry. Fragile household items that can be easily damaged such as TVs, and home theaters are also included here. This section covers extensive risks: fire, theft, loss or damage while in transit, accidental damage within the house, and any other risk unless excluded in the policy.

Section D-WIBA

This section covers your domestic employees against death, medical expenses due to bodily injury, or diseases contracted in relation to their responsibilities. Some insurance companies give this section free of charge for up to two employees.

Section E – Owners and Occupier’s Legal Liability

This section protects the owner or occupier (tenant) against any legal liabilities that may arise from third parties in relation to the use of the premises.

Read Also: Why You Should Have Insurance As a Young Adult

How to get started

Assess your needs

The first step to purchasing household insurance coverage is assessing your needs. Before approaching the insurer, ascertain the value of your possessions and determine what you want to insure. If you are a tenant, you may want to insure your personal belongings and house content. For landlords and homeowners, you'll need to consider insuring the whole building.

Review covers from different providers

Look for reputable insurance companies that offer household insurance. Take note of their;

• Customer reviews and ratings
• Policy options and coverage limits
• Premium costs
• Claim process

You could ask for recommendations from friends or consult with an insurance broker for expert advice.

Also: Use the Money254 Platform to Compare the best  Insurance in Kenya For You.

Get multiple quotes and choose the right cover for you

Once you narrow down to two or three providers, ask for quotations and compare their pricing and coverage. Be keen to check what is covered under the policy and take note of any exclusions. Decide on the right coverage that meets your insurance needs.

Complete the application form

Once you have selected the insurance provider and the coverage you want, fill out the application form. You will be required to provide the following details;

Your personal information (name, ID number and address)

A list of all insured items and their estimated value

The type of coverage you want (section)

Read also: Break-ins and Broken Glass: Why Home Insurance was a Lifesaver

Pay your premium

Once you have filled out the application form and signed it, you'll need to pay your premium. Most insurance providers require you to make an annual payment. Some may allow monthly payments if the premium is high. The premium amount varies depending on the section you choose and the value of the items listed.

Keep your policy updated by informing the insurer of major purchases or any other changes.

How to file a claim

In case of loss, damage or theft you can file a claim with the insurer to receive compensation. You will be required to fill a claim form, provide a police report and a receipt or proforma invoice that shows the value of the item. The insurer will do an assessment to determine if the claim is valid and offer compensation based on policy terms.

So, is household insurance worth it? Absolutely. It's an essential investment that provides both financial protection and emotional relief. With the right coverage, you can sleep well at night, knowing that your property is secure.