NIC Launches Steering Committee to Drive Inclusive Insurance Agenda
The National Insurance Commission (NIC) has inaugurated a 12-member steering committee to spearhead the implementation of an ambitious inclusive insurance programme aimed at expanding coverage to underserved populations.
Chaired by Stella Jonah, Head of Supervision at the NIC, the committee includes a cross-section of representatives from key regulatory bodies, industry stakeholders, and government agencies. Members include figures such as former Auditor-General Daniel Domelovo and Dr. Kingsley Kwabahson, CEO of the Ghana Insurers Association.
The initiative is central to the NIC’s strategy to address a glaring disparity in insurance penetration across Ghana, where only 5% of the population currently has access to micro-insurance. The programme also seeks to advance coverage in high-risk areas, including agriculture, with parametric insurance solutions being earmarked as a potential innovation to address climate-related vulnerabilities.
Reform Agenda
Michael Kofi Andoh, Acting Commissioner of the NIC, described the committee’s inauguration as pivotal to enhancing financial inclusion and reducing poverty. “Inclusive insurance can act as a critical lever to empower individuals and businesses, especially within Ghana’s informal sector,” he remarked, citing the significant economic vulnerabilities faced by this segment.
The initiative aligns with broader government goals to foster resilience and ensure sustainable economic growth. The inclusive insurance framework is expected to strengthen access to risk management tools while fostering long-term stability for low-income and informal sector participants.
Strategic Collaboration
Key institutional partners include the Ministry of Finance, the Ministry of Health, and the National Health Insurance Authority. Representatives from the United Nations Development Programme (UNDP) have also underscored the importance of the initiative, citing its potential to catalyse Ghana’s financial inclusion targets.
Amina Sammo, Coordinator of the UNDP Insurance and Risk Finance Facility, noted, “This initiative is an essential step towards empowering low-income communities and ensuring access to critical financial tools. The partnership between the NIC and UNDP has already laid a strong foundation for progress.”
Industry Implications
While the project has been lauded for its ambition, challenges remain. Ghana’s insurance sector, though growing, faces structural hurdles, including low trust levels, limited awareness, and significant operational inefficiencies.
However, with the Insurance Act, 2021 (Act 1061), providing a modernized regulatory framework, the NIC believes the inclusive insurance agenda can gain momentum. The steering committee’s focus on parametric and agricultural insurance is expected to unlock opportunities for growth while attracting investment in underserved segments.
The committee has been tasked with developing actionable strategies to drive adoption of inclusive insurance products, improving awareness, and addressing bottlenecks that have historically constrained Ghana’s insurance penetration.
