Corporate/SME Products

SME & Corporate Products

Categories of insurance cover that could protect your Corporate or Small & Medium-Sized Enterprises

Various Categories of Liability Insurance

Liability Insurance

This is designed to provide protection to an organization against legal liability to
members of the public. In particular, it reimburses costs incurred due to legal action taken as a result of
losses, damage to property, injury or even death caused by negligence on the part of the insured. This
includes both paying any compensation the court awards as well as covering the legal costs involved in
defending the case.

This type of insurance covers damages caused by products a company supplies and
related legal and court costs. It’s often bundled together with public liability insurance or provided as an
add-on.
No matter how much care you take, it’s impossible to completely avoid the risk that your products will
cause harm. So whether you’re a retailer or a manufacturer, if your company sells products, product
liability insurance provides invaluable protection. Otherwise there is a risk that a court case could not
only ruin your reputation, but take your business into insolvency.
The coverage can be tailored to make sure it suits the specific types of products you sell.

Specifically designed to protect service providers from legal expenses resulting
from customers suing for errors, negligence or malpractice.
Some clients require service providers to have professional liability insurance before they engage them.
This alone makes suitable professional liability coverage a great investment if you’re a service provider.
Again, the policy can be tailored to make sure it’s appropriate for your industry sector and the services
you provide.

The Work Injury Benefit Act (WIBA) in Kenya came into force in 2007 to
help employees obtain compensation for work-related injuries and illnesses. The Act made it compulsory
for employers to have insurance in place, from an approved provider, to cover related claims from
employees.
However, you might also want to consider going above and beyond this by taking out employer’s liability
insurance. This will protect you in case an employee decides to exercise their right to sue you for
damages under common law.
It’s also worth noting that WIBA insurance usually only covers compensation for accidents and injuries
that come about during working hours. WIBA Plus policies are available that extend the coverage to
include time outside work.

Director’s and officer’s liability insurance protects a company’s most
senior staff from the impact of legal claims related to decisions and actions they make within the scope
of their official capacities.
This class of liability insurance provides protection for the business leaders themselves. As well as
protecting them from the financial impact of personal lawsuits, it can provide a financial cushion if they
lose their job as a result of a particular decision or action. However it also provides protection for their
companies, enabling them to recoup money they may spend helping a senior staff member defend their
case in court.
Unfortunately there is always potential for things to go wrong, despite best intentions. So the right mix
of liability insurance is essential to make sure your business is equipped to withstand legal action that
may be taken against it.

Health Insurance

There are now various health insurance schemes in Kenya aimed specifically at SMEs, which include affordable entry-level options. Here in Kenya, where state health provision is very limited, private healthcare is generally seen as essential. However, accessing it to tackle a serious health condition without the benefit of private health Insurance can have a devastating financial impact on individuals and their families. So providing health coverage for employees is a great way to attract and retain good staff.

Cyber Risk Insurance

Experts estimate that Kenya lost KES 17.7 billion to cybercrime in 2016. In terms of percentage of GDP, Kenya was hit worse than any other African country. With IT systems becoming increasingly integral to running a business, it’s not hard to imagine the impact a technical disaster could have on a growing company. Thankfully, there is now insurance available specifically designed to protect companies from losses incurred due to cyber security issues, including system damage caused by viruses, hacking, malicious employees or simply by accident

Property Insurance

Coverage is available for specific items, from electronic equipment to goods in transit. You can also choose to address specific risks, from fire to terrorism, or go for open perils coverage, previously known as ‘all risks’, which covers losses or damage due to any cause other than those specifically excluded. If you have valuable stock or equipment, the loss of which could have a devastating impact on your business, it’s definitely worth investing in suitable property insurance. The cover will usually apply while the property covered is within a specified geographical area

Business Interruption Insurance

This is designed to protect an organization from the financial losses it could incur as a result of a disaster interrupting business as usual. Policies generally provide cover for specific things, such as increased costs of working and accountants’ fees incurred in preparing a claim, as well as a negative impact on profit. Business interruption insurance is particularly relevant for companies that depend on a specific location, such as a retail shop. To make sure you receive the financial boost you need to get back on track following a disaster, it’s important to come up with an accurate idea of the maximum period of interruption you might face and the maximum amount to be covered.