Letshego Kenya has partnered with international insurer Liberty Life to launch a funeral insurance policy in the market.
Dubbed, Fariji Jamii, the policy will cover final expenses, cushioning off policyholders’ families from financial burdens associated with farewells.
It covers a family consisting of a maximum of 10 family members - one main member and their spouse; maximum of 4 children, 2 parents and 2 parents in law.
The annual premiums range from Sh350 to Sh5,500 and the value of sum assured starts from Sh50,000 to Sh200,000.
“We believe personal insurance adds value to all our customers,” said Adam Kaisane, Letshego Kenya’s Country CEO.
According to the two companies, the customers claims processing times will be between half a day to three days.
“The economic and cultural realities of our time could help change the customer mind-set on the importance of planning for their funeral,” said Liberty Life Managing Director, Abel Munda.
An earlier study commissioned by Association of Kenya Insurers (AKI) across counties suggested that Kenyan families should take up funeral insurance covers due to over commercialization of last rites in Kenya.
The study showed that less than 3 percent of Kenyans have funeral covers, with the rest exposed to funeral expenses costs between Sh50,000 and Sh300,000 and between Sh400,000 and Sh2.5 million in hospital bills in cases of deaths from illnesses.
“The coming together of Liberty Life and Letshego Kenya is designed to provide many more families with financial relief in overcoming the inevitable nature of death in the community,” Munda said.
The solution is Letshego’s introductory insurance solution for Kenyan customers which will be complemented with the inclusive lender’s existing borrowing solutions.
