Heavy-equipment insurance markets across Africa are less developed than in OECD markets. Most contractors carry minimal cover, exposing significant balance-sheet risk. Here's the available cover and what to specify.
Types of cover
- Third-party liability — required by law in most markets
- Comprehensive own-damage — fire, theft, accident, vandalism
- Equipment all-risk — broadest cover including transit
- Machinery breakdown — internal mechanical failures
- Operator personal accident — required by labour regulations
Typical premium ranges (% of insured value annually)
- Nigeria: 2.5-4.5% comprehensive
- Ghana: 2-3.5% comprehensive
- Kenya: 2-3% comprehensive
- South Africa: 1.5-2.5% comprehensive (most mature market)