This is a policy that is issued to Co-operative societies to cover them against the risk of losing money given out as loans to members who die before full repayment of the loan.

When the co-operative gives out loans, their only other way of recovery in case of death of a member is to recover the loan amount from the Guarantors. This is a difficult time for all remaining members and requiring the guarantors to now pay off the loan at such a time usually does not go down well with the members. At the same time the co-operative cannot afford to write off the loans of deceased members, because if the co-operative has to survive recovery of the money is crucial.

This is where our Alliance Sacco plan comes in handy. In case of death of a member Kenyan Alliance comes in to pay off the sum assured of the deceased member, which is the outstanding loan as per the last declaration from the Sacco.

Cover Flexibility
The cover is unique. In the event of death of a Sacco member, benefits become payable depending on the following options: -

• Total share savings at the time of death of insured member to the beneficiaries.
• Last expense benefits for an insured Sacco member.

The benefits indemnify the deceased members liability to the Sacco and at the same time extend cash payment to his/ her next of kin in cases where this option has been covered.

Scope of cover
Our policy does not have any other exclusion except the standard insurance exclusion of war risks and suicide within the first year (i.e) death from any cause is  covered.
Our policy does not contain exclusion of AIDS.

Claims Settlement
Claims are processed and settled as quickly as possible within a time span of one week subject to the necessary supporting documents being submitted to Kenyan  Alliance on time.
For claims settlement the following documents will be required:-

• Original Death Certificate & Burial Permit
• Original Surrender of I.D form
• Duly executed Loan approval form &  copy of latest pay slip.

Other optional covers

• Total and Permanent Disability Rider.
  On the borrower becoming totally and permanently disabled (as defined in the policy) during the term of the loan the company shall pay to the Finance Company the amount outstanding on the loan.
• Funeral Cover.
  Funeral Expenses cover provides for the payment of a given amount say, Kshs. 30,000/= or 50,000/= to the dependants of a deceased employee to take care of the funeral expenses. The amount is paid within 48 hours after notification of death.
• Cover on Shares
• Each member can be covered for an amount equivalent to the total amount of his/her shares. In case of death this amount is payable to the dependants to enable them get back on their feet financially. 

Downloads

• Proposal Form
• Claim Form