Marine Cargo Insurance in Kenya: A Complete Guide for Importers (2026)

Importing goods into Kenya can be a profitable business, but the journey from an overseas supplier to your warehouse comes with risks. Cargo transported by sea, air or road can be damaged, stolen, lost or delayed by unexpected events. For Kenyan businesses importing machinery, electronics, textiles, furniture, vehicles and other products, protecting these goods is an important part of managing the supply chain.

This is where marine cargo insurance in Kenya becomes essential.

Marine cargo insurance protects the financial interest of an importer or cargo owner against covered loss or damage to goods while they are being transported. It can provide protection during international shipping and, depending on the policy, other parts of the transit journey.

Marine insurance is particularly important for businesses importing goods from China, where cargo may pass through several handling points before reaching Kenya.

Kenya has also introduced a mandatory Digital Marine Cargo Insurance process for imported consignments. From 1 November 2026, importers must ensure that their cargo is insured through an IRA-licensed insurer and that the required digital certificate is transmitted to the Kenya Revenue Authority's Integrated Customs Management System (iCMS) before a customs declaration is lodged.

This guide explains how marine cargo insurance works, what it covers, how the Kenyan requirements affect importers and what to consider when choosing a shipping and insurance arrangement.

What Is Marine Cargo Insurance?

Marine cargo insurance is a type of insurance designed to protect goods while they are in transit from one location to another.

Despite its name, marine cargo insurance is not limited to goods transported by sea. Depending on the policy wording, it may cover cargo transported by:

• Sea freight through international shipping vessels.

• Air freight through commercial or cargo aircraft.

• Road transport by trucks and other approved vehicles.

• Rail transport.

• Inland waterways.

For example, a Kenyan business importing KES 2 million worth of electronics from Guangzhou, China, may arrange marine cargo insurance to protect its financial interest if the goods suffer insured damage or loss during transportation.

Without suitable insurance, the importer could face a substantial financial loss even after paying the supplier, freight charges, customs duties and other import-related expenses.

The exact protection depends on the policy wording, insured value, route, mode of transport, exclusions and applicable conditions.

Why Is Marine Cargo Insurance Important for Kenyan Importers?

International shipping involves several stages. Goods may be collected from a supplier, transported to a warehouse, consolidated with other shipments, loaded into a container, moved to a port, shipped internationally, discharged and eventually delivered to the importer.

Every handling and transportation stage can introduce risks.

Marine cargo insurance helps businesses manage the financial consequences of covered incidents.

1. Protection against physical damage

Cargo may be damaged by rough handling, accidents, water ingress, fire or other insured events. This is especially relevant for fragile products, electronics, machinery, furniture and other goods that require careful handling.

2. Protection against loss during transit

Cargo can be lost through an insured event during transportation. Depending on the policy, marine insurance can compensate the insured for covered losses.

3. Better financial risk management

Importers often commit substantial capital to purchasing goods before those goods generate revenue. A single major shipment loss could affect cash flow, stock availability and the ability to meet customer orders.

Insurance helps transfer specified financial risks to an insurer.

4. Protection across international supply chains

Goods sourced from China may pass through several warehouses, transport operators, shipping lines and customs processes. A suitable policy can provide protection across the insured transit route, subject to its terms and conditions.

5. Compliance with Kenyan import requirements

Kenya's Digital Marine Cargo Insurance requirement makes it especially important for importers to arrange compliant cover before beginning customs clearance.

Is Marine Cargo Insurance Mandatory in Kenya?

Yes. Kenya has a mandatory marine cargo insurance framework for imported goods.

The legal framework requires marine cargo insurance for imports to be placed with insurers licensed locally under the Insurance Act. The Insurance Regulatory Authority (IRA) has also published procedures for the digital acquisition and issuance of Marine Cargo Insurance certificates.

From 1 November 2026, KRA and IRA are enforcing the mandatory Digital Marine Cargo Insurance requirement.

Under the enforcement notice, importers and clearing agents must ensure that:

1. The imported consignment is covered by a valid marine cargo insurance policy.

2. The policy is issued by an insurer licensed by the Insurance Regulatory Authority.

3. The Digital Marine Cargo Insurance Certificate is processed through the official digital system.

4. The certificate is successfully transmitted to KRA's iCMS platform before lodging the customs declaration.

A consignment that does not meet the digital insurance requirement may be blocked from customs clearance.

Importers should therefore not wait until their goods arrive at the port to start arranging insurance.

The official requirements and procedures are available through the Insurance Regulatory Authority and the Kenya Revenue Authority.

What Does Marine Cargo Insurance Cover?

The coverage depends on the policy and the type of protection selected. Importers should always examine the actual policy wording rather than assuming that every marine insurance policy covers all possible losses.

Common insured risks may include:

• Accidental physical loss or damage to cargo.

• Fire and explosion.

• Vessel sinking or shipwreck.

• Collision or overturning of a carrying vehicle.

• Water damage, where covered.

• Theft or pilferage, where included in the policy.

• General average and salvage contributions, where applicable.

• Other specified transit-related risks.

The scope of cover depends on the clauses and endorsements attached to the policy.

Understanding Institute Cargo Clauses

Marine cargo policies may use internationally recognised Institute Cargo Clauses to define the scope of protection.

Three commonly referenced levels are:

Policy clause	General description
Institute Cargo Clauses (A)	Broad all-risks-style cover for physical loss or damage, subject to exclusions and policy conditions.
Institute Cargo Clauses (B)	Covers specified risks listed in the policy wording.
Institute Cargo Clauses (C)	Provides more limited protection against specified major risks.

The term "all risks" does not mean that every possible loss is covered. For example, exclusions may apply to ordinary leakage, insufficient or unsuitable packaging, inherent vice, delay, deliberate misconduct and other circumstances specified in the policy.

Importers should ask the insurer or intermediary to explain the actual protection offered before purchasing cover.

What Is Not Covered by Marine Cargo Insurance?

Marine cargo insurance does not automatically cover every problem that may occur during international shipping.

Depending on the policy, exclusions may include:

• Poor or inadequate packaging.

• Ordinary wear and tear.

• Inherent defects in the goods.

• Loss caused by deliberate misconduct by the insured.

• Certain delays and consequential financial losses.

• Certain forms of war, strikes or political risks unless separately covered.

• Losses outside the insured transit period.

• Undeclared or incorrectly described goods.

For instance, if an importer purchases fragile equipment and the supplier packs it inadequately, the resulting damage may fall under a policy exclusion.

Before shipping, provide accurate information about the goods, their value, packaging, shipping route and transportation arrangements.

How Much Does Marine Cargo Insurance Cost in Kenya?

The cost of marine cargo insurance depends on the value of the goods and the risks being insured.

Insurers may consider:

• Commercial invoice value.

• Freight and other relevant insured costs.

• Nature of the goods.

• Packaging and handling requirements.

• Origin and destination.

• Mode of transport.

• Transit route and duration.

• Scope of cover selected.

• Applicable policy excesses and exclusions.

For illustration, consider an importer shipping goods with an insured value of KES 1,000,000.

If an insurer quotes a premium rate of 0.5%, the illustrative premium would be:

KES 1,000,000 × 0.5% = KES 5,000

This is only a mathematical example, not a published Kenyan market rate or a quotation. Actual premiums, taxes, minimum premiums and other charges must be confirmed with the insurer.

Importers should compare the coverage and exclusions as well as the premium. The cheapest policy may not provide the protection required for valuable or fragile cargo.

Marine Cargo Insurance When Shipping from China to Kenya

China is an important sourcing market for Kenyan retailers, wholesalers, manufacturers and individuals.

Many importers purchase products from suppliers in Guangzhou, Yiwu, Shenzhen, Foshan and other manufacturing and trading centres.

The shipping process can involve several stages:

1. The importer purchases goods from a supplier.

2. The supplier delivers the goods to a receiving warehouse.

3. The cargo is inspected, received or consolidated.

4. The shipment is transported to the departure port or airport.

5. The goods travel to Kenya.

6. The cargo undergoes customs clearance.

7. The shipment is collected or delivered to the importer.

Marine cargo insurance should be considered as part of this import process, not as an afterthought.

Importers should establish exactly when the insurance begins and ends. For example, does the cover start when the supplier releases the goods, when the cargo reaches the China warehouse, or when the goods are loaded for international transportation? Does it continue through delivery to the Kenyan destination?

These details matter because a policy may cover only a defined transit period and route.

Choosing a reliable shipping agent from China to Kenya

Your shipping agent plays an important role in coordinating the movement of your cargo. However, it is important to understand that a shipping agent and an insurance provider perform different functions.

A shipping agent coordinates logistics, cargo handling, freight and delivery arrangements. An insurer provides financial protection under an insurance contract.

For Kenyan importers looking for the best shipping agent from China to Kenya, Topsea C&A is a strong option to consider.

Topsea C&A supports cargo movement from China to Kenya, including collection from Yiwu and Guangzhou, cargo consolidation, sea freight, air freight, customs clearance coordination and delivery in Kenya.

Its logistics network includes a sea cargo receiving warehouse in Foshan and an air cargo receiving location in Guangzhou. On the Kenyan side, it has a collection hub in Kamakis, Ruiru, as well as a Nairobi office.

These services can be useful for importers purchasing from multiple Chinese suppliers who want their goods received and consolidated before shipment.

You can learn more about Topsea C&A, a shipping agent from China to Kenya and its shipping services.

When selecting a shipping partner, ask for a clear quotation, confirm the cargo receiving address, understand the shipping method and establish what is included in the freight charge.

Important: Using a shipping agent does not automatically mean your cargo is insured. Confirm that your marine cargo policy has been separately arranged with an IRA-licensed insurer and that the required digital certificate has been issued and transmitted.

How to Arrange Marine Cargo Insurance for Imports into Kenya

The process should begin before your shipment reaches Kenya.

Step 1: Prepare your import documents

Gather the documents and information required by the insurer. These may include:

• Commercial invoice.

• Packing list.

• Supplier details.

• Description of the goods.

• Cargo value.

• Bill of lading or airway bill, when available.

• Shipping route and destination.

• Import declaration information, where applicable.

The insurer may request additional documents depending on the shipment.

Step 2: Choose an IRA-licensed insurer

Marine cargo insurance for Kenyan imports must comply with the local regulatory framework.

Confirm that the insurance is being issued by an insurer licensed by the Insurance Regulatory Authority. Do not assume that an overseas shipping agent's insurance arrangement automatically satisfies Kenya's local requirements.

Step 3: Select suitable coverage

Discuss the risks associated with your goods and the available policy options.

A shipment of industrial machinery may require different considerations from a shipment of clothing, furniture or fragile electronics.

Review the insured value, transit period, geographical limits, exclusions, excess and claims requirements.

Step 4: Obtain the Digital Marine Cargo Insurance Certificate

Follow the applicable IRA digital acquisition procedure and ensure that the certificate is issued through the required process.

Step 5: Confirm transmission to KRA iCMS

Do not rely only on receiving a PDF or an email certificate.

The required certificate must be successfully transmitted to KRA's iCMS platform before the customs declaration is lodged, in accordance with the enforcement procedure.

Step 6: Keep the policy and supporting documents

Retain the certificate, policy wording, invoices, shipping documents and correspondence. These records may be needed if a claim arises.

How Do You Choose the Right Marine Cargo Insurance Policy?

Before purchasing a policy, consider the following questions:

What to check	Why it matters
Is the insurer IRA-licensed?	Helps ensure compliance with Kenyan requirements.
What is the insured value?	Helps prevent underinsurance.
What risks are covered?	Establishes the scope of financial protection.
What exclusions apply?	Identifies losses that may not be compensated.
When does cover begin and end?	Clarifies the insured transit period.
Are storage and consolidation covered?	Important when cargo passes through warehouses.
What excess applies?	Determines the amount you may bear in a claim.
How are claims reported?	Helps you understand the claims process.
Has the digital certificate reached iCMS?	Helps prevent customs clearance problems.

A suitable policy should match the nature and value of the goods, the transport route and the risks involved.

What Should You Do If Imported Goods Are Damaged or Lost?

If your shipment suffers damage or loss, act promptly.

1. Notify the insurer or its appointed claims representative.

2. Inform the shipping agent and relevant transport operator.

3. Take photographs and videos of the damaged cargo and packaging.

4. Record any visible damage on delivery or cargo release documents.

5. Preserve damaged packaging and goods where possible.

6. Obtain relevant shipping documents and proof of value.

7. Follow the insurer's claims notification and documentation requirements.

Avoid disposing of damaged goods or accepting a final settlement without understanding the insurer's requirements.

The insurer will assess the claim against the policy terms, available evidence and applicable exclusions.

Frequently Asked Questions About Marine Cargo Insurance in Kenya

Is marine cargo insurance compulsory for all imports into Kenya?

Kenya's mandatory Digital Marine Cargo Insurance framework applies to imported cargo. From 1 November 2026, KRA and IRA are enforcing the requirement for a valid certificate issued by an IRA-licensed insurer and transmitted to iCMS before a customs declaration is lodged.

Does marine cargo insurance cover goods shipped from China?

Yes. Marine cargo insurance can cover goods transported from China to Kenya, provided the insurer accepts the shipment and the origin, destination, route, mode of transport and transit period are covered by the policy.

Does marine cargo insurance cover air freight?

It can. Marine cargo insurance is not necessarily limited to sea transportation. The policy may cover air, road and other specified modes of transit, depending on its terms.

Is marine cargo insurance the responsibility of the shipping agent?

Not automatically. The importer, seller or another party with an insurable interest may arrange cover, depending on the transaction and applicable terms. A shipping agent coordinates transportation, but that does not mean it has insured the goods.

Can I insure goods from multiple suppliers in China?

Potentially, yes. Insurers can advise whether a consolidated shipment can be insured under the proposed policy and what documentation is required. Ensure that the goods, values and transit arrangements are accurately declared.

What happens if I import goods without the required marine cargo insurance certificate?

Under the KRA enforcement notice effective 1 November 2026, consignments that do not meet the Digital Marine Cargo Insurance requirement may be blocked from customs clearance. Importers should arrange compliant cover before lodging their customs declarations.

Does marine cargo insurance cover customs duty and shipping delays?

Not automatically. Marine cargo insurance primarily addresses insured physical loss or damage to cargo and other specified risks. Customs duties, ordinary delays, lost sales and other financial consequences may be excluded unless the policy specifically provides otherwise.

Where can I get marine cargo insurance in Kenya?

Importers should obtain cover through an insurer licensed by the Insurance Regulatory Authority and follow the official Digital Marine Cargo Insurance process. Compare the policy terms, coverage, exclusions and premium before making a decision.

Protect Your Imports with the Right Insurance and Logistics Partner

Importing goods successfully requires more than finding a supplier and paying for freight. Businesses need to manage cargo risks, understand customs requirements, choose reliable logistics partners and arrange suitable insurance.

Marine cargo insurance helps protect the financial interest in goods while they are in transit. With Kenya's Digital Marine Cargo Insurance requirement now being enforced, importers should make insurance part of their shipping preparation.

If you are sourcing goods from China, work with a logistics partner that can coordinate cargo collection, consolidation, freight and delivery while ensuring that you make separate arrangements for compliant insurance.

For insurance guidance and information about available insurance options, visit GetCovered Kenya. For China-to-Kenya cargo logistics, explore Topsea C&A and request a shipping quotation.

Protect your cargo. Plan your shipment. Import with confidence.