Business

Low awareness hurts travel cover earnings

Low awareness hurts travel cover earnings
  • AKI will next year conduct a mass awareness campaign to educate the public on the importance of the cover.

The Association of Kenyan Insurers (AKI) has blamed the low uptake of travel insurance cover in Kenya on a lack of awareness, denying local underwriters a fair share of revenue in the Sh1.9 trillion global industry.

Chief executive Tom Gichuhi said the lobby would next year conduct a mass awareness campaign to educate the public on the importance of the cover.

“The uptake has fallen short of the initial target that we had envisaged and the lack of awareness has made it difficult for insurance companies to sell the cover,” Mr Gichuhi said.

“It includes personal and medical covers, loss of checked baggage, delay of checked baggage, loss of passport, personality liability, travel delay, hijack and accidents, therefore in an ideal situation should provide good business he said.

But travel insurance does not cover the loss or theft of baggage or cash left unattended, self-inflicted injuries, acts of civil unrest, and any pre-existing medical conditions.

Travel is classified among the minor insurance classes by the association, alongside agriculture, golfers, bonds and plate glass covers among others.