Top 4 Best Life Insurance Companies in Kenya (2020)
Not everyone needs life insurance, but it’s certainly a good option for specific types of people. In this article we cover the most reliable trustworthy life-insurance providers in Kenya.
Before going to one of the below-mentioned companies we’d strongly recommend educating yourself on what the various life-insurance types that are offered in Kenya and what particular type would be best for you and your family.
We’ll give a brief outline to help deciding below, however we’d recommend further research before speaking to a life insurance dealer/company, as they’re often going to push more expensive (full life insurance) plans even if they aren’t the best option for you.
Choosing The Best Life Insurance Plan For You:
Before we get into the specific companies we’d say are the best in Kenya we want to include a brief introduction to the types of plans they offer. We’ll focus on the top 3-4 types of plans — the other types we personally wouldn’t even consider, as the various other types of life insurance just aren’t very good compared to the types we will cover in this article — as the other types are too specific and just aren’t very practical or beneficial for most families/individuals.
The first type is Term Life Insurance — Term Life Insurance is generally the best option for folks who aren’t as settled down. If you aren’t the sole provider for your family, or own a home, and are single or married then this choice is likely the best for you, as it’s one of the cheapest for the benefit you get. This type of plan will give your beneficiary (family) a large lump-sum payment if you unfortunately, ahem, “expire.”
The second type we’d recommend is Mortgage Life Insurance — This plan is only for you if you own a house/apartment that you or your parents live in. How this plan works is they simply pay off the remainder of the loan balance if you “expire.” This is a great budget option if you have a family or take care of your parents and want to ensure that they don’t lose their home if you died — as they’d get a paid-off home if that ever occurred and never would have to worry about a place to live again. This plan is the cheapest on average and is great if your spouse has a job as well and earns enough to continue paying for food/bills other than housing.
The Third type we’d recommend would be a “family benefit plan” — Different companies call this different things, but this plan gives your family a set income per month paid from the insurance company for a set time period you choose when you sign up for the life insurance plan. This is good if you already own a home, or don’t want to be a home-owner and prefer to rent, and you have a family that you want to not have to worry about income if you died. This plan is particularly good if your partner/spouse isn’t very knowledgeable in finances and you want to make sure they don’t blow a lump-sum benefit and instead want them to receive a stable income that they’d be more likely to use on normal living expenses.
The Fourth type we’d consider/recommend would be just a simple celebration-plan — This one only covers burial/funeral fees/expenses. This is a decent option for single people who simply want to make sure if you did experience an “unfortunate incident,” then your parents/family wouldn’t be on the hook for funeral expenses as well as grieving your loss — we’d say this is a good option for single young people or older people who lack a savings, but it isn’t a good choice for families in our opinion.
With this overview out of the way we’ll cover the best insurance providers in Kenya— including the 4 that are the best overall and that we’d consider using ourselves. We’d recommend getting quotes from 2 -> 3 of the below companies for the specific plan you’re interested in, then choosing the cheapest option, as all of the below insurance companies are 100% trustworthy in our view and aren’t going out of business anytime soon.
Our Personal Choice For Life-Insurance in Kenya: UAP Old Mutual
This is the life insurance company we’d consider the absolute best — they not only seem to have fantastic customer service and relatively quick claims from what we’ve heard, but they also have a very modern up-to date website and general usability features.
There’s no real downsides to choosing a plan with UAP Old Mutual, which is why they’re our top choice. The company is very well-capitalized and in good financial standing, is relatively transparent and is publicly traded, and really they check all the boxes of what we’re looking for in a life insurance company. The only negative I can really come up with is that UAP Old Mutual’s life insurance isn’t the absolute cheapest option — they’re often in the more mid-range pricing bracket. Particularly for their Whole-life plans, which are generally a bit higher than most other providers we got quotes from during our research.
So if you don’t mind paying a little extra for the peace of mind that they’ll be around and not cause hassle, then we’d definitely say UAP’s offerings are some of the best. You can check them out in detail on this page of their website. They unfortunately don’t have as many plan choices that we like as other providers, however their Term policy and Funeral plans are great.
Our Second Choice: APA Insurance
If we weren’t going with UAP Old Mutual we’d probably go with APA’s Life Insurance policies as they are also a medium-cost provider with exceptional customer service and claims process. Their website isn’t as good however, and they have more plans (mostly useless ones) which makes choosing a plan a bit harder, however ultimately those are small hurdles to overcome in our opinion — especially when you can go in person into one of their offices and get actually helpful advice or guidance in many cases if you’re clear about what you want from your insurance.
The only downside to APA is that they have many plans that just aren’t good for almost anybody and are basically bad savings accounts with high-fees. So make sure if you go with them you understand your plan and get one of the good ones they offer such as the Mortgage protection plan, Life Cover plan, or Funeral plan. Avoid their Anticipated Savings (Akiba Halisi) plan as it’s basically a bad savings account with extras fees — instead if you want to save opt to open one of the best savings accounts in Kenya that we cover in this article.
You can view all the plans they offer on this page of their website, however ultimately only the above 3 outlined plans are ones we’d personally consider.
An Overall Great Life Insurance Choice: CIC Group's Insurance
If you want to pay the absolute lowest cost while not getting outright scammed we’d say CIC Group offers decent plans at an overall fair price. They just aren’t as well-structured and submitting and getting a policy paid out tends to not be quite as easy as the other companies we’ve covered here.
They still pay out and give less problem than other companies we didn’t mention in this article, but claims may take long than a few days to a week like the other companies we covered here. Instead they may take 10 days to about 18 days. Sometimes they’ll be quick, but from what we’ve heard there’s often some nonsense that delays the payout.
If you don’t mind such delays and have some savings to hold you over until you actually receive the benefits then CIC isn’t a bad choice at all and can save you a bit as they’re a lower-cost provider. You can check out their website, but it’s pretty awful and useless, so I’d say just going into one of their locations if you think you’d be okay with the slightly slower claims payout issue and want to save a bit of money in premiums every month.
An Overall Good Choice: Stanbic Bank's Platinum Life Insurance
While we wouldn’t say this is the best choice Stanbic is a very safe well-trusted bank with decent customer service and they so happen to offer life Insurance as well. Unfortunately they only offer one real plan, and it’s a all-in-one plan, offerring disability and injury insurance on top of death insurance, critical illness insurance, etc.
Because of all the extras they throw in it does cost a bit more (medium price-range) compared to some plans, however if you want to the added security and protection it’s a good choice. The main downside to this plan is you MUST have an account with Stanbic bank, and we don’t think it’s really worth opening an account just to get this life insurance.
So if you’re already a customer with Stanbic Bank then this is a good option if you want comprehensive coverage, particularly if you believe you may be at a greater risk for injury than others (Architect/Engineer/Crane-Operator vs Office worker). You can check out the account on this page of their website, however you’ll have to schedule an appointment to go in-bank to sign up for this plan if you do decide to go for it.