Car insurance in Kenya: comprehensive vs third party explained
Last updated · Cada car guides
Third-party motor insurance is compulsory in Kenya: the Insurance (Motor Vehicles Third Party Risks) Act (Cap. 405) makes it an offence to use a car on a road without it, punishable by a fine of up to KES 10,000, up to two years in prison, or both. Third party only pays for injury and damage you cause to others; third party, fire and theft adds your own car if it burns or is stolen; comprehensive also covers damage to your own car in an accident. Lenders require comprehensive cover with their interest noted.
| Compulsory | Third-party cover (Cap. 405 s.4) |
|---|---|
| Penalty for no cover | Up to KES 10,000 fine, up to 2 years in prison, or both |
| Third party only | Others' injury and property; not your car |
| Third party, fire & theft | Adds your car against fire and theft |
| Comprehensive | Adds accident damage to your own car |
| Financed cars | Comprehensive with the lender noted as first loss payee |
What to check in any policy
- The excess you pay on each claim.
- Whether it covers commercial use (taxi, ride-hailing, deliveries). Private policies usually do not.
- Windscreen, radio and towing limits.
- Whether the insured value matches the car's real value.
- That the insurer and intermediary are licensed by the Insurance Regulatory Authority.
Common questions
Can I drive a newly bought car on the seller's insurance?
Do not rely on it. Insure the car in your own name before driving it away.
On Cada
Sources
General information, not legal, tax or financial advice. Rules and fees change; confirm with the authority named in the sources before you pay.