What is the 'discovery period'?

Most fidelity policies pay losses discovered during the policy period plus a defined discovery window after expiry (typically 6 or 12 months). Long-running frauds often surface only after the perpetrator leaves — so the discovery period matters a great deal.

What controls does the insurer require?

Standard expectations: segregation of duties between accounting and cash handling, dual authorisation for payments above a threshold, monthly bank reconciliations, and an annual external audit. Tighter controls reduce premium.

Is cover automatic for new hires?

Under blanket cover, yes — all employees are covered from the date of hire. Under named or position cover, the policy schedule must be updated. We provide a simple online portal for changes.

Do I need to prosecute to claim?

Not always — but you do need to demonstrate the loss with reasonable evidence (audit findings, confessions, documentary trail). Insurers typically require you to assist with any prosecution and pursue civil recovery against the employee.

Business & Commercial Insurance

Fidelity Guarantee Insurance

Protects your business against financial loss caused by dishonest or fraudulent acts of your employees.

Get a Fidelity Guarantee Quote Talk to an Advisor

Employee theft coverForgery + fraud includedInvestigation costsBank & finance friendly

Employee Theft

Recovered

Investigation

Costs Covered

Employee Theft

Recovered

Investigation

Costs Covered

Years Experience

Underwriter Partners

Claims Paid 2024

0.0★

Google Rating

Fidelity Guarantee insurance — sometimes written as Employee Dishonesty or Crime cover — pays the business back for money or goods stolen, embezzled, or fraudulently obtained by employees acting alone or in collusion. It is the most under-bought commercial cover in Kenya: most businesses think 'it won't happen to us' until it does, often years into a trusted employee's tenure.

Vike structures fidelity cover by exposure: cash-handling roles, accounts and finance teams, stock-holding staff, and IT administrators each have a different fraud profile. We can place named-employee cover (specific individuals), position cover (anyone in a defined role), or blanket cover (all employees) — and we walk you through the discovery period and proof requirements before a loss happens, when it is still possible to put proper controls in place.

What It Covers

Theft of money, securities, or goods by employees
Fraud, embezzlement, and forgery committed by employees
Computer fraud — manipulating systems to divert funds
Funds transfer fraud — fraudulent payment instructions
Investigation and audit costs to determine the loss (sub-limit)
Collusion between two or more employees
Discovery period — losses discovered within a defined window after the act
Cover for new hires automatically (subject to declaration limits)

Who It's For

Businesses with cash-handling — retailers, supermarkets, restaurants, fuel stations
Companies with significant accounts payable / accounts receivable exposure
Saccos, microfinance institutions, and other financial intermediaries
Distributors with field sales agents collecting payments
Any business with stock subject to employee access

Types We Cover

Each profile is rated and underwritten differently. Talk to us so we can match your specific situation.

Named Persons

Cover applies only to specifically identified employees. Cheapest structure but limited utility — only useful where one or two senior cash handlers are the entire exposure.

Position Cover

Cover applies to whoever occupies a defined role (e.g. cashier, store manager, accountant). Useful where there is turnover but the position carries the risk. Most common SME structure.

Blanket Cover

All employees are covered automatically. Cleanest administration and the right answer for any business with meaningful workforce size. Premium is per-employee or by total payroll.

Commercial Crime / All-Risks Crime

Broadest wording, covering employee dishonesty plus third-party computer crime, social engineering fraud, and forgery by outsiders. Recommended for finance-sector and high-tech businesses.

Real-World Scenarios

Senior accountant embezzles KES 14M over three years

Discovered during a routine audit. Fidelity Guarantee pays the loss subject to the sum insured and the audit fees. Without cover, the business absorbs the full loss — often more than a year's profit for an SME.

Cashier and supervisor collude to underring sales

Collusion is specifically covered under the standard wording. The insurer reconstructs the loss with the help of audit professionals (audit costs covered with a sub-limit) and indemnifies the financial shortfall.

Funds transfer fraud — payments diverted

Computer / funds transfer fraud extension responds when an employee uses internal access to redirect supplier payments to their own account. This sub-cover is increasingly important as more businesses adopt online banking and ERP systems.

Optional Benefits & Add-ons

Audit and forensic investigation costs

Computer fraud and funds transfer fraud

Social engineering / business email compromise

Extension of discovery period to 12 or 24 months

Forgery and alteration of documents

Money on premises and in transit (combined Money policy)

Availability varies by underwriter. Our advisors will confirm what is available on your chosen policy.

Frequently Asked Questions

No. Burglary specifically excludes theft by employees acting alone or in collusion. Without Fidelity Guarantee, internal theft is uninsured — and internal theft is statistically far more common than external burglary.