Kenyan families can now secure a funeral cover for as little as KSh 1,000 a year, as Britam Connect and Montezuma Funeral Home launch the Heshima Farewell Plan, a last-expense policy designed to spare grieving families the burden of scrambling for funds at the worst possible moment.
The launch arrives at a time when funerals in Kenya have become a serious financial event. In Nairobi, Mombasa and Kisumu, a funeral now regularly costs upwards of KSh 300,000. Even in rural areas, families face mounting bills for transport, mortuary fees, coffins, ceremonies and catering.
Research commissioned by the Association of Kenya Insurers (AKI) and conducted by Ipsos found that a middle-class Kenyan funeral budget ranges from KSh 50,000 to KSh 300,000, and can surge to between KSh 400,000 and KSh 2.5 million when the deceased leaves behind unpaid hospital bills.
A managed service, not just a cash payout
What sets the Heshima Farewell Plan apart from conventional funeral policies is its reach beyond a simple cash transfer. Through the partnership with Montezuma Funeral Home, bereaved families receive end-to-end funeral arrangements. Depending on the package chosen, the service covers mortuary payments, a hearse, nationwide transportation, a casket, wreaths and casket flowers, portrait preparation, obituary support, funeral programmes, a chapel service and a limousine hearse. The Insurance Regulatory Authority has approved the policy, which covers both natural and accidental death.
Speaking at the launch, Britam Connect CEO Evah Kimani said the plan addresses a gap that has long gone unmet:
“The burden of funeral expenses continues to challenge many families in Kenya. With the Heshima Farewell Plan, we aim to ease this burden and encourage people to plan for the unexpected, so families can focus on grieving without financial stress.”
Montezuma Funeral Home Operations Manager Josh Karuga added: “We see firsthand the emotional and financial strain families go through when they lose a loved one. This partnership with Britam Connect allows us to support families more holistically, ensuring they can give their loved ones a respectful send-off without the added burden of unexpected costs.”
Four coverage tiers, built for different incomes
The plan offers four tiers, making it accessible across income levels.
| Plan | Cover amount | Annual premium |
|---|---|---|
| Basic | KSh 100,000 | KSh 1,000 |
| Standard | KSh 150,000 | KSh 1,400 |
| Executive | KSh 300,000 | KSh 1,700 |
| Premium | KSh 500,000 | KSh 1,850 |
The pricing directly counters a perception problem documented in the AKI research. Many Kenyans assume funeral insurance is expensive and reserved for higher-income households, until they see the actual premiums. One Nairobi respondent in the Ipsos study captured the reaction: “I didn’t know that all you need to do is contribute about Ksh 1,000 annually that is actually very affordable.”
Who qualifies
The policy covers a wide family structure. The principal member and spouse must be between 18 and 70 years, with cover renewable to age 80. Children aged one month to 18 years qualify, as do students up to 25 years with proof of enrolment. Parents and parents-in-law can join up to age 80, with cover extending to age 85. Waiting periods range from one to six months depending on the cause of death.
Why uptake has lagged despite the clear need
Funeral insurance remains poorly adopted in Kenya despite the scale of the problem. The AKI-Ipsos survey identified the main barriers as cultural: Kenyans generally avoid discussing or planning for death, viewing it as inviting misfortune.
Strong communal fundraising traditions, through welfare groups, church associations and family contributions, have also reduced the perceived urgency of formal cover. Most families still rely on contributions from friends, welfare associations and, in some cases, loans from banks or informal lenders. Formal insurance rarely features in funeral funding plans.
Insurers have compounded the problem through low marketing investment and a tendency to treat funeral products as secondary to pension, medical and education covers. The Ipsos research noted that funeral insurance is often maintained by insurers mainly to preserve market presence rather than actively sold.
South Africa’s AVBOB offers a proven model. The mutual society built its position over a century by targeting lower-income consumers, deploying field agents to build trust, offering end-to-end funeral services and focusing exclusively on funeral products. It now covers 3.5 million lives. The Britam Connect and Montezuma arrangement mirrors that approach closely.
Building a national footprint
The Heshima Farewell Plan extends Britam Connect’s growing position in the funeral insurance segment. The company previously partnered with Francis Funeral Home in Busia, targeting communities in Western Kenya, a region the AKI research identified as among the most receptive to funeral insurance products due to the cultural and financial weight placed on funerals there.
The deeper question is whether a well-priced product can shift behaviour. The AKI research recommended that insurers frame their communication around the financial burden of funeral costs rather than the idea of planning for death, arguing that speaking to the money problem connects more effectively with consumers than confronting cultural taboos directly. At KSh 1,000 a year for KSh 100,000 in cover, the Heshima Farewell Plan removes the affordability objection. What remains is the harder work of changing the conversation.
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