how to buy professional indemnity cover Kenya

I. The High Stakes of Medicine: Understanding Professional Liability

Medical practitioners whether it be doctors, nurses, clinical officers, and dentists, play an indispensable role in Kenya’s healthcare system. Yet, medicine is complex: even with the highest standards of care, unexpected outcomes can still occur.

What Is Professional Indemnity (PI) Insurance?

Professional indemnity insurance (also known as professional liability insurance) provides coverage for financial losses resulting from acts of negligence, errors, or omissions committed in the course of professional duty.

Simply put, if a patient suffers financially due to your medical decision, treatment, or advice, this cover steps in to protect you from legal and financial consequences.

PI vs. General Liability Insurance

II. The Legal Imperative: PI as a Mandate in Kenya

Having professional indemnity insurance is not optional—it’s the law.

Legal Requirement

Under the Health Laws (Amendment) Act, No. 5 of 2019, every medical practitioner in Kenya must take out professional indemnity cover annually, and every health institution must insure itself against professional liability arising from the actions of its staff.

This requirement ensures both individuals and institutions are financially protected in case of malpractice claims.

Why It Matters

• Non-compliance risks: Without valid indemnity cover, your practice or registration may be suspended.
• Financial exposure: Some hospitals in Kenya have paid over KSh 100 million in malpractice settlements within a single year.
• Expanding liability: PI now extends beyond clinical errors to include breaches of confidentiality, cyber risks, and patient data mishandling.

Emerging Trends in Healthcare Risk

• A gradual decline in new negligence cases has been noted due to increasing professional awareness and insurance uptake.
• Compliance with the Data Protection Act (2019) is now mandatory, especially for clinics managing sensitive patient data.

III. The Scope of Protection: What a Comprehensive PI Policy Covers

A robust PI cover protects you from the financial and reputational impact of legal claims while ensuring business continuity.

Core Areas of Protection

Optional Policy Extensions

Many insurers include valuable add-ons tailored for medical practices:

IV. Policy Boundaries: Common Exclusions to Note

Understanding exclusions helps ensure your coverage matches your risk exposure.

Typical Exclusions Include:

• Acts outside the professional scope of work.
• Criminal acts, fraud, or intentional misconduct.
• Acts committed under the influence of drugs or alcohol.
• Claims made by business partners or employees.
• Insolvency or bankruptcy of the practice.
• Bodily injury to employees (covered under employment insurance).
• Political violence and terrorism.

Always review your policy’s exclusions before signing—small omissions can lead to large financial consequences later. For a detailed guide on purchasing the right policy, see our step-by-step guide to buying professional indemnity insurance in Kenya.

V. Partnering for Protection: How Step by Step Insurance Supports You

At Step by Step Insurance Agency, we do more than arrange a policy—we become your dedicated insurance department.

We understand the evolving nature of healthcare—new technology, new regulations, and new risks. Our advisors work closely with you to build a customised indemnity plan that grows with your practice.

Why Choose Step by Step

• Tailored guidance – We assess your specialty, exposure, and practice setup to recommend the right cover.
• Partnership with top underwriters – We collaborate with Kenya’s leading insurers to guarantee reliable, compliant solutions.
• Transparent process – You’ll know exactly what your cover includes, what it excludes, and how to handle claims.
• Dedicated advisory support – We continuously monitor policy updates and risk trends to keep your cover current.

The Application Process

Here’s how we help you secure your Professional Indemnity Insurance—step by step:

1. Consent & Information – You authorise us to source and structure your cover.
2. Personal & Professional Data – We capture your practice details, qualifications, and registration.
3. Practice Information – Includes clinic/facility operations, partnerships, and patient volume.
4. Claims History – Disclosure of any previous legal or insurance claims.
5. Coverage Design – We help determine the right limits, deductibles, and extensions.
6. Quotation & Review – Multiple quotes from reputable underwriters.
7. Policy Issuance – Once approved, we finalise and issue your policy certificate.

Our advisors will also review your needs for any additional cover—such as reputational damage, cyber liability, or data breach protection.

We also provide specialized PI solutions for other professionals like accountants and consulting engineers.

VI. Your Next Step: Secure Your Practice Today

Professional indemnity insurance is mandatory, protective, and practical. You’ve invested years in your profession—don’t leave your hard work vulnerable to a single legal claim.

Let Step by Step Insurance Agency help you build the right protection plan for your practice or institution.

Your patients trust you to care for them.
Trust Step by Step Insurance Agency to care for your professional peace of mind.