• By Raymond Momanyi

Motor Commercial Insurance in Kenya

Motor Commercial General Cartage and Motor Commercial Own Goods insurance in Kenya are specialized motor insurance policies tailored for businesses, and each serves distinct purposes based on the type of goods transported and the nature of the business. Here’s an overview of the key differences:

1. Coverage Scope

Motor Commercial General Cartage:

• Designed for vehicles used to transport goods for hire or reward.
• Covers risks associated with the carriage of goods belonging to third parties.
• Commonly used by logistics companies, couriers, and haulage businesses.

Motor Commercial Own Goods:

• Designed for vehicles transporting goods owned by the insured business.
• Covers risks associated with the transportation of goods that are integral to the business operation (e.g., delivery vans carrying company products).
• Not intended for hire or reward services.

2. Goods in Transit

Motor Commercial General Cartage:

• May include or require additional coverage for "Goods in Transit Insurance," which protects the goods being transported for third parties. This can extend to include Carrier’s Liabilities.
• Coverage can be extended to ensure the goods transported on behalf of clients are insured.

Motor Commercial Own Goods:

• Goods in Transit Insurance may also apply but specifically for the business’ own goods, such as equipment, materials, or inventory.

3. Policyholder

Motor Commercial General Cartage:

• Typically issued to businesses operating as transporters or logistics providers.

Motor Commercial Own Goods:

• Issued to businesses that need to move their own products or equipment as part of their operations.

4. COMESA Insurance Coverage

Both policies can include COMESA Yellow Card Insurance, which extends motor insurance coverage to countries within the COMESA region. This is especially useful for businesses operating across borders, as it:

• Provides third-party liability coverage in participating COMESA countries.
• Ensures compliance with local regulations when transporting goods across borders.

Applicability:

• General Cartage: Ideal for logistics companies frequently crossing borders to deliver goods.
• Own Goods: Beneficial for businesses transporting their own goods regionally.

5. Premium Costs

Motor Commercial General Cartage:

• Typically, higher due to increased exposure to risks (e.g., diverse goods, varying destinations).

Motor Commercial Own Goods:

• Generally lower premiums since the risks are limited to the business’s own goods.

6. Risk Assessment

• General Cartage policies consider the nature of goods being transported, routes, and the frequency of trips.
• Own Goods policies focus on the type of goods owned by the business and their intended use.

How Imana Insurance Can Assist

Imana Insurance Agency Kenya Ltd and MyKava Online Insurance Shop offer personalized advice to help you select the right cover for your business needs. Services include:

• Quote Comparison: Compare policies from top providers to find the best fit.
• COMESA Yellow Card Assistance: Add regional coverage for cross-border operations.
• Custom Coverage: Tailored policies for your business’ specific requirements.

Visit www.imana.co.ke or www.mykava.co.ke, or call us at 0113619635, 0745218460, or 0113806810. Our offices are located on the 4th Floor, Krishna Centre, Woodvale Grove, Westlands, Nairobi.