1. What is IPF?
This is a facility that enables you to pay your insurance premium in instalments rather than one lumpsum.
2. Key information to establish from a customer who wants an IPF facility
- Amount of premium to be financed
- Period of insurance for the policy (ies)
- Insurance Company (ies)
- Number of installments required i.e. 4 – 10 months
3. Are there any Limitations in applying for an IPF facility?
Yes!
- The total premium to be financed must be at least Kshs. 25,000.
- The insurance policies being financed must be placed with Insurance Companies acceptable to us (see attached list of insurance companies with which arrangements are in place).
4. Is IPF workable for all types of insurance?
No. IPF is workable with insurance’s that are normally placed or renewed for a fixed period of one year.
Examples of such insurance policies:
- Fire and perils
- Motor Commercial or Private
- Industrial All Risk
- Workmen’s compensation
- Burglary
- Golfers policy
- Medical Insurance
- Contractors all risk policy
Examples of insurance policies where IPF is not workable:
- Life insurance policies except Group Life as premiums are payable annually
- Marine policies
- Medical insurance placed with Health Care Providers e.g. AAR, Mediplus etc.
5. What are the benefits in IPF to the Customer?
- Alternative source of borrowing
- Cash flow management
- Purchase all your insurance needs
- Convenient and simple documentation
- Easy application process
- No credit appraisal
- Quick processing time
- No hidden charges or fees
- Competitive pricing
6. You have accepted to use IPF. What next?
- Fill in our IPF application form.
- Give us a current cheque for the first instalment or pay cash.
- Give us postdated cheques or standing order for the remaining consecutive monthly instalments
7. What is the security in these IPF facilities?
Guarantees from the relevant insurance companies undertaking to refund the Refundable premium on demand in case of default by the customer.
8. How long does it take to pay the Insurance Company(s)?
On completion of documentation it takes:
- 48 hours if the first instalment is paid in cash.
- At most six working days if the first instalment is done by cheque.
9. What happens if the Customer defaults?
- Give the customer seven days notice of cancellation of the insurance policies financed.
- After seven days write to the Insurance Company requesting for the cancellation of policies financed and demanding our refundable premium.
