The new traffic Act. What impact does it have on car owners?

The New Rules get to effect on the 1st of December 2012

The recent amendment of the section 12 of Cap 403 of the law of Kenya caught many car owners off guard. The president went ahead and signed the amendments into law meaning they are operational from then and can be effected.

To get you on the safe side, thanks to Placid Insurance, we are making sure you understand the implications and the changes made as a cushion to our beloved clients. Placid Insurance Agency has proven itself effective and up-to-date as we will solve your problem both online and offline, thanks to our dedicated team. 

 Number plates: Let’s say you want to sell your car, there is a new procedure governing that because you will have to surrender the plates to the registrar of motor vehicles and. On the other hand, if you again fail to renew you’re the insurance cover, you also need to remember to surrender the plates to the registrar or else, you risk being arrested and fined.

   When on the road, many are the times you have seen Matatu drivers and motor cycle riders overlapping and using the wrong lanes. If this new rule is obeyed, this will be history. The new law stated that Overlapping, Obstruction, driving through a petrol station to avoid traffic and driving on the pavements attracts a 100,000 to 300,000 Shillings fine, a one year jail term or both. 

  

   Over speeding is also one serious offence in the traffic laws of Kenya as it attracts a 10,000 shillings fine, three months in jail or both. The Kenyan traffic laws have put a speed limit of 80 Kph as the maximum speed on major roads. You also need to understand that some accidents occurring due to careless driving and over speeding are not compensable for insurance. Just be cautious.

   The common careless driving is also being taken seriously as from the new law; it attracts a 500,000 shillings fine/10 year jail term or both. The same applies to the offense of Driving under the influence of alcohol.

  

   For PSV operators, both the drive and the conductor need to always be in uniform and badge rules or else face serious offenses.

  Motor Cycle Riders are restricted to one passage per ride and both the rider and the passenger need to have a reflective jacket and helmets otherwise they risk being fined 10,000 Kenya shillings in default or 12 months imprisonment.

Furthermore, road blocks are to be gazetted prior to being set up by the traffic police department. On the other hand, the driving licenses for speed limit violators will be suspended for not less than 3 years if the person exceeds a speed limit of by over 10kph and the offense repeated 3 times or more.

For the passenger, you need to have the safety belts on at all times.

It will be mandatory for all licensed drivers to go for eye checkups every three months and if you fail the test your license will be withdrawn.

To effect the law, all law enforcers (the regular police and APs) are effectively mandated to deal with traffic issues with the abolition of the Traffic Department under the Kenya Police Service Act.

This important not only for drivers but also car owners since accidents and losses accrued from carelessness and deviation from the law are not compensated. 

Placid insurance therefore advices you to be careful while on the road and effect the new rules for both your safety and the safety of your passengers. 

Feel free to give feedback and ask any question related to Insurance and your safety on the road.

Placid Insurance Agency cares for you.

Be safe

The placid Blog

About Placid Insurance blog

Placid Insurance Agency is an agency recognized by the Insurance Regulatory Authority (IRA) as an insurance broker. We have been in this business for over 10 years and counting. We believe in quality service delivery and customer support.

This is the reason why we have gone a step higher in service delivery and client support to using the online platform and social media as our tools of propulsion. On the other hand, we have also the best support when it comes to insurance consultancy and advice, thanks to our dedicated team on the ground.

Our Objectives:

We seek to provide insurance cover to the Small and Medium Enterprises therefore enabling them to effectively manage their risks. We have taken it upon ourselves to carefully analyze terms of reference on assignments given therefore making our work successful. We understand that quality service and dependability are the key features towards fulfilling our client’s desire and creating an everlasting trust with them.

Blog participation

On the blog, we seek to use it as a tool to offer support and news on new developments in the Industry. The blog will on the other hand serve and our FAQ center and archive where you can get all your questions answered and reactions raised here will be written and effective replies made on time.

Furthermore the archive will give you a better understanding of the insurance policies and other regulations incepted by the government and other players in the industry. We shall on the other hand give the latest, maybe in the month or week or even day in the field of insurance, therefore you don’t want to miss out on this.

The blog also acts as our source of contact apart from the website. Here, you will access our by weekly newsletter just in case you missed out on your email. With the newsletter, it carries tips on insurance, insurance quotes and other insurance news in play.

Goodies/Participation.

The newsletter will also bring to you the latest at PlacidInsurance, what’s in the kitchen and other deals for our clients. You can’t also take part in our weekly trivia question where you can win goodies for you and your family. The weekly trivia questions will roll out next year and will be running on the Placid website. Be sure to check this out.

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Handling a Motor Vehicle Insurance Claim

Insurance claims can be Tricky... You need to know the game

More than 15 Million motor vehicles clog the Kenyan roads today, making it likely that someday you will have an accident and file an auto insurance claim. The good news however is that in most auto accident claims, personal injury is not the problem.

Although a personal injury claim may require a different level of proof and persistence than a vehicle damage claim and insurance regulations vary according to the insurance provider but the basic steps to place a claim are fairly similar.

Every insurance claim requires a proof of damage or injury before a carrier will pay. On auto claims, there are five elements of proof that comes into play: what you tell the insurance companies, what the other party tells them, a police report, witnesses and physical damage at the scene.

The claim process.

In Kenya, universally, the claim has to be reported to the Insurance cover provider in 7 days but to the broker/agent immediately. Many people have lost their claims due to small mistakes as this. In this issue, we have highlighted the “dos and Don’ts” when making a claim

The do’s (procedure)

• Immediately you get an accident, the first thing to do is, mark the positions of the loss/site indicating all positions just in case the other party decides to leave before the arrival of the police.
• All this time, you are not supposed to accept liability but refer the loss to your agent for further action.
• Call the police so that you can have them inspect the loss and probably give you an abstract as this will be necessary for lodging your claim. (In Kenya, the police can be reached through the 911/999 emergency numbers. However, depending on the police posts near, you can have specific numbers for reporting any emergencies.
• You then need to obtain a reference number (Abstract) from the police which you then will have to submit to the agent. (The abstract contains the inspection report which the agent will use to report to the Insurance provider)
• After this, you then call your insurance agent and report the loss as it is. That way, the agent will be able to record this and file this loss awaiting a report on the total loss.
• All this time, you need to ensure your safety by standing at a clear place to avoid further harm to you, plus, you need to have your hazard lights on as well as other alerts to indicate a hazard ahead.

Don’ts.

·         

• Never remove the vehicle from the scene of the accident before the police arrive as this will nullify your claim.
• ·         Never accept liability but always report this and refer to the insurance agent. You may also not apologies-EVER. Do Not Apologize to Anyone at Anytime. That does not mean that you cannot express empathy for any injuries to others, but an apology can be turned into an admission by an insurance adjuster.
• ·         You should not commit anything in writing unless the police are present. Doing so, especially if you do this in a huff will affect the way you make your decisions.
• ·         Don’t commence with the repair before taking pictures or a report of assessment from accredited/qualified assessors.

Quick pick.

1. ·         Report the loss within 48hrs and not later than 7 days:
2. ·         Report to the police
3. ·         Notify your agent
4. ·         Obtain a reference number and assessment report from the police
5. ·         The following documents should be forwarded thereafter.
6. ·         Well filled claim form
7. ·         Copy of driver’s license
8. ·         Copy of P.S.V license (If the m/v is a P.S.V)
9. ·         Motor Inspection(If any injuries/damages to Third Parties                                                                                                                                                                                                                    More info: www.placidinsurance.co.ke

Importance of Business Equipment Insurance

Insure Your Business Equipment.

The electronic and other instruments in your office are the tools for your business and protecting them is vital for any business entity. It is common knowledge that without them, your business will definitely not function and these instruments which are quite expensive are equally costly to maintain and it would be quite painful to see them becoming worthless. It is precisely for this reason that you ought to have them insured.

With the steady upgrade in technology, your business equipment and equipment protection measures need to be upgraded as well. Furthermore, new equipment will definitely add value to your assets and make obsolete your existing equipment insurance policy.

If these equipment and office tools are damaged or stolen, an adequate insurance cover will permit your business to run unhindered. You therefore need to have an updated insurance policy which you ought to renew every year. You should ensure that your insurer is able to provide a full insurance cover for your office equipment. Take a look into how new technology can affect your company, and the importance of insuring your business equipment.

Research has revealed that the expenditure on office equipment is likely to grow as many companies are catching up on the latest trends in office technology. This would mean that there would be an increased investment in technology and would therefore require an unique insurance cover for this. Although some insurance firms may not have a suitable cover for this, it is advisable for you to find out insurance companies that offer a comprehensive insurance cover for your office equipment.

Lets consider the Ipad – a small but expensive gadget. It is however important for your out-of-office duties, making it vulnerable to damage. Therefore, if you consider adding it to your office equipment, it is important that your insurance policy provide cover for it.

If you are thinking of raising your premiums, it would be worth confirming that your old equipment is worth the raise. However, in Kenya, many offices have outdated equipment that aren’t being used. Insuring them would not be worthwhile apart from the extra cost burden to the firm. That is why you should have an assessment programme to ensure that you pay a reduced insurance premium.

During this age of technological advancements, companies may now be researching on finding out new ways of investment that can give them an edge over other competing firms as well as increase their productivity. For many, this need has been directed towards the injection of cash into new technology.

If your firm is in such a position, every time you make a significant technological upgrade or purchase for your business, discuss it with your insurer to help ensure that your investments are fully protected.

Do take the time to review your insurance policy as it is easy to see the benefits of having adequate cover in place for your business equipment. This is the best option available for your office tools since tools are your business.

Your Pick

The article speaks and focuses on the importance of business equipment insurance, and why it is necessary to have all your business equipment insured. The author suggests that you should take the time to review your insurance policy confirm having adequate cover in place for your business equipment.