Insurance and financial services firm, CIC Group, has rolled out a set of insurance products targeted at learning institutions as it diversifies its customer base. The firm has started off with primary and secondary schools with a series of insurance covers for students, staff and school properties.
CIC Insurance Group Chief Executive Officer Tom Gitogo unveiled the products during the just-concluded Kenya Secondary School Heads Association (KESSHA) meeting held in Mombasa. “Some of the products with which we are targeting the education sector include Schoolguard for property insurance, students’ personal accident, work injury benefits, principals’ medical, pension and investment covers,” he said.
Mr Gitogo noted that a number of school heads had already agreed with parents to include the funding for insurance in the student school fees, a major step in facilitating the acquisition of these critical products. “Well thought-out insurance products go a long way in providing an assuring environment for learning and at the same time, relieves from the principals the pressure and stress associated with damage or loss to property and/or injury to students and support staff,” he said.
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The government will disburse Ksh600 for every boarding school student for their insurance, while parents are required to pay Ksh1,060 per student. For day school students, parents are to pay Ksh710 per student while the government’s subsidy is Ksh600. This cost sharing initiative is expected to enable schools meet the insurance costs.
Mr Gitogo underscored the role played by insurance in mitigating financial loss and disruption of learning in schools when the unforeseen occurs.
With the specialized schools’ insurance products, CIC Insurance Group looks to grow its business which was a bumpy one for the industry in the past year. The company reported a net profit of Ksh1.13 Billion, a 4.4% increase from 2014’s figure of Ksh1.09 billion.
Mr Gitogo believes the investment in provision of targeted insurance covers for schools will be a win-win for both the education sector and insurance industry.