Fire insurance a necessity, not a luxury for business, home owners

If there’s one thing that can turn a lifetime of hard work into ashes in minutes, it’s fire. For example, in the last two months we’ve witnessed fires at Sigona and Limuru golf clubs yet, in Kenya, fire insurance is one of the least discussed topics—until disaster strikes.

From the sprawling estates of Nairobi to the bustling small businesses in downtown Kisumu, many Kenyans operate without a safety net in case the unexpected happens. How many times have you heard about a market burning down, an apartment complex catching fire, or even your favourite nyama choma joint going up in flames?

Fires are unpredictable, but financial ruin after a fire? That’s something you can prepare for.

What, exactly, is fire insurance?

Fire insurance is a policy that protects you from the financial losses caused by fire damage. It covers homes, businesses, and even personal belongings. If a fire destroys your property, your insurance provider steps in to compensate you, either by repairing or rebuilding what was lost or by giving you the cash equivalent.

Think of it as a financial fire extinguisher—except instead of putting out flames, it puts out the financial strain that comes after the fire.

Let’s break it down. If you own a home, you likely have years of savings tied up in that investment. A fire can wipe that out in hours. For business owners, losing your shop, stock, or office space could mean shutting down for good. And for landlords, a fire in one of your rental properties could mean months (or even years) of lost income.

Yet, despite these risks, most Kenyans operate with a “God will provide” mentality—until reality hits. The truth is, fire insurance isn’t just for big corporations or wealthy homeowners. Whether you own a small business, rental apartment, or a modest home, fire insurance is a practical safety net.

What does fire insurance cover?

The specifics depend on the insurer, but a typical fire insurance policy covers damage to buildings, furniture, stock, and personal belongings. It also covers fire caused by electrical faults, gas explosions, floods and even lightning, as well as  additional costs such as temporary accommodation if your home is unlivable. Some policies even allow you to add coverage for things such as theft that may occur during a fire or the cost of rebuilding structures.

How much does it cost?

The cost of fire insurance depends on the value of your property and the coverage you choose. But here’s the good news—it’s affordable. Insurers in Kenya offer flexible payment plans, (up to three or four months payment plans) and for few thousand shillings a year, you can secure peace of mind. 

The writer is an insurance expert