Car insurance in kenya is expensive, leaving many people wondering if they actually need to insure the car they don’t drive. People often insure the car they drive and additionally, include their family members to the policy if they also drive the same car. But why should a person insure the car he is not driving?
Well, it all depends upon a number of situations, as well as by state, insurance company, policy and even by individual customer. In some situations, people lease their cars so they require the insurance of the car as registered owners. So, there might be a number of situations that vary the insurance on vehicles.
Here’s a look at the possible three situations in case of insuring your car you do not drive:
1. When Your Car Is An Extra Vehicle At Home:
If you own more than a car at home and the other car is of limited use, would you insure the other car as well? in most cases, people avoid insuring the extra car in order to avoid extra expenses.
But you might still need to buy liability insurance for that vehicle as it is the mandatory policy for every Kenyan. Even if you don’t drive this car for months but still you must have insurance of your car for every unpredictable situation.
Insurers from InsureAfrika recommend that instead of buying a liability insurance, one should opt to purchase a comprehensive car insurance which covers losses from vandalism, natural disasters, and theft. Those risks lurk, regardless of whether you drive the car.
In this context, they have recently launched NEXT insurance Kenya, an online car insurance product that provides your car a comprehensive car insurance cover & Third Party Car Insurance Kenya with superb benefits and tailored pricing.
If still in doubt, you can talk to your insurance agent for the right policy and special discounts for seasonal cars.
2. If You Are Moving Abroad And Will Give Your Car To Someone Else To Drive
If you are leaving the country for a year or more, you can keep the insurance policy of your car as a registered owner. You can also grant regular access to your car to someone else. In this kind of situation, people should have purchased the car insurance for their vehicle even if they are not going to drive.
In case, no one is going to use your car, you do not need to add additional drivers to the policy. One important thing, inform your insurance company about the situation. Never keep your insurance company in the dark.
3. While Planning For A Family Outing Or A Party
Maybe you plan to spend a vacation home by the beach or go out for a long tour with friends. There may arise a number of reasons where you will realize there is no need to use your car for a time, and you might consider dropping your insurance while you’re gone. But do you think it is a smart thing to do? Does it really make sense to cancel the insurance on your car?
Well, it may give you some short-term savings but you should be aware of the drawbacks of canceling a policy and options to reduce your coverage instead. So, the best advice would be to insure your car with a comprehensive policy that will protect your car from all kinds of risks including natural calamities, fire, theft etc even if the car is not used.
4. When You Are Not A Licensed Driver But Someone Else Drive Your Car For You
In some cases, you might be able to purchase insurance for the car without including yourself as a driver on the policy. But you must hold a valid reason as the insurer will want to know more about the situation and will handle it on a case-by-case basis.
Two big questions insurance companies will ask:
Why don’t you have a license? &
Who will be the primary driver?
If you don’t have a license because of reckless driving convictions, then affordable car insurance is not in the cards. But still, you can have the car and include your driver in the policy. But if you don’t drive because of a disability, illness or old age, an insurer typically will want a licensed driver listed on the policy, such as a family member who lives in the home.
The company will calculate premium on the basis of driver’s age, gender, driving record and other characteristics.
5. If You Rarely Use Your Car
Might be you live near your office so you prefer to walk to your workplace. Might be you need a break from your old car and can’t buy a new one right now so just avoiding using your old asset. May be your car just broke down and you need to fix it. Whatever the reason is, but a car whether used or not, must carry a minimal cover in that state.
Laws vary from state to state so it is better to contact a well reputed insurance company or any company, you registered before and ask if you require any car insurance cover for the car that isn’t active. If yes, get to know what is the right policy to own for that car. They can better guide you.
Secondly, if you want to enjoy low premiums on your motor insurance policy, keep your car carefully. The more secure your car will be, the lower your car insurance rates can often be.
How To Save On Insurance For A Car You Don’t Drive?
Your insurance agent can better help you decide which is the best coverage policy for such a vehicle, so rather than canceling your car insurance policy, you might simply tend to reduce your coverage.
For instance, if you are not going to drive your car for a month or more, you can suspend your liability and collision coverage, as both are driving-related and, instead, maintain only comprehensive coverage on the car.
A Comprehensive coverage is a type of coverage that protects your vehicle in the case of theft, fire or unpredictable damages due to natural disasters — scenarios you might actually encounter in both circumstances, while your car is in use or not.
You’d likely enjoy low premiums if you pared your policy down like this because this would cost you only for a single coverage. In addition, you’d prevent yourself from having a “lapse in coverage” that could result in higher expenses in the future.