Occidental Insurance Company has blacklisted 25 car models because of their rare and obsolete car parts which has proven to be expensive or unavailable. In a statement on Friday, the company said it will not cover some models for Suzuki, Mazda, Hyundai, some Toyota brands and Renault.
“We hereby wish to enlighten you that there exist some vehicles whose spare parts have become rare and/or obsolete and have therefore proven to be a challenge when settling claims. We will there not underwrite these kinds of vehicles to ensure a smooth running of the business and excellent client experience,” the statement said in part.
Other models mentioned include Daihatsu all models, Subaru Exiga, Toyota Gaia, Vios, Voltz, Honda Crossroad, Suzuki Escudo, Mazda Axella and Ford Escape. “Further, please take note that all the vehicles covered on comprehensive basis shall be converted to Third Party only upon renewal.” Also, note that all comprehensive vehicles must be up to 15 years of age for private vehicles and 12 years for commercial vehicles,” the statement further read.
Toyota Kenya is backing the reduction of age limit for imported vehicles with an engine capacity above 1,600cc from eight to five years. Managing director Arvinder Reel said the introduction of the Draft National Automotive Policy gives buyers an opportunity to own brand new cars.
He said this would give customers vehicles with a warranty, zero mileage and with a longer life span. Reel’s position comes at a time when the Kenya Auto Bazaar Association which brings together importers of used vehicles is protesting the plan.
The association says the plan if implemented will put many Kenyans out of jobs and deny middle-income earners an opportunity to own cars.