Shop & Retail Insurance in Kenya

Most shops need fire cover for stock, fittings and the building (if owned), burglary cover, money cover for cash on the premises and in transit, public liability for customer injuries, and WIBA for staff, which is compulsory for every employer. Retail SME packages bundle these from about KES 25,000 a year before levies. Add riot cover and fidelity guarantee if relevant.

Sometimes. A few insurers sell small fire and burglary covers for stall traders, and some have packages for mobile money agents covering cash, staff theft and WIBA. Many policies, however, require a permanent building of stone, block or concrete, and SME packages often refer mobile money shops and premises not of first-class construction for individual quotes.

Theft is only covered where entry to or exit from the premises was forcible and violent; theft by staff is excluded. Insurers also set security conditions, which can include a watchman or guard outside working hours, grilles and strong locks, an alarm with a maintenance contract, a locked safe and proper stock books. Breaking a warranty can void a claim, so read them before you sign.

Money insurance covers cash and cheques lost through theft, robbery or hold-up while in transit to or from the bank, on your premises during business hours, in a locked safe or strongroom after hours, and with authorised staff. Most wordings also pay for damage to the safe. It is priced on your estimated annual cash carried, about 0.1% of it, with a minimum of around KES 3,000.

Only if you bought it. Standard fire and burglary policies usually exclude riot, strike, political violence and terrorism unless the extension or a separate political violence and terrorism (PVT) policy is in place, and a 2024 Kenyan case refused a riot claim for exactly this reason. Some SME packages include riot and strike under fire but carry a high excess on the PVT section.

Fidelity guarantee pays for money or stock you lose through fraud, forgery, embezzlement or theft by your own employees. You can insure named people, named positions such as cashiers and storekeepers, or all staff. The dishonest act must happen while the policy is in force and be discovered within a set period, typically six to 12 months after the employee leaves or the policy ends.

Most property policies carry an 'average' condition: if you insure for less than the true value, the insurer cuts your claim in proportion. Insure a property worth KES 10 million for KES 5 million and a KES 2 million loss pays about KES 1 million. Review your sums insured at every renewal, especially stock that rises during busy seasons.

An SME package (also called a business combined or office package) puts several covers into one policy with one premium and one renewal date. Fire and perils is usually the compulsory core; you then choose sections such as burglary, money, all risks, public liability, WIBA, goods in transit, fidelity guarantee and business interruption. Each section has its own sum insured or limit, so you insure only what your business actually has.