GH?9.2m paid daily in insurance claims 

By Ernest Bako WUBONTO

President-Chartered Insurance Institute of Ghana (CIIG) Solomon Lartey has challenged the long-held perception that insurers fail to honour claims, revealing that companies paid approximately GH?9.2million in claims daily last year.

He disclosed that in 2024 the industry paid a total GH?3.3billion in claims – an average GH?4million daily from life insurers and GH?5.2million from non-life insurers.

“The perception that insurance companies are quick to collect money but reluctant to pay claims is absolutely untrue. Daily, insurers are paying millions of cedis,” Mr. Lartey said.

He stressed the need for a shift in public mindset and greater awareness to boost insurance uptake and penetration. He made these remarks at the SanlamAllianz Financial Education campaign launch, an outreach initiative designed to promote financial literacy and insurance adoption nationwide.

Despite the significant volume of claims paid, insurance penetration in Ghana remains low. According to the 2024 Financial Stability Review, penetration stood at 1.0 percent – unchanged from previous years. Under the new IFRS 17 reporting standard, penetration was measured at 0.63 percent – below one percent.

Acting Commissioner of Insurance Dr. Abiba Zakariah underscored the critical role of insurance in national development, noting that companies and households without cover struggle to recover from disasters or unexpected crises.

“The fact that insurance penetration remains at about one percent means only a small proportion of people take up insurance products. This is due to issues of accessibility and in many cases, a lack of understanding. Promoting financial literacy is therefore essential,” she said.

Chief Executive Officer-SanlamAllianz General Insurance Ghana, Mabel Nana Nyarkoa Porbley, said the informal sector presents the industry’s biggest growth opportunity. With around 92 percent of businesses in Ghana being SMEs, she emphasised that efforts to deepen financial literacy must focus on this segment.

She explained that the SanlamAllianz campaign was developed following a market survey and is designed to reach informal sector workers including traders, tailors, dressmakers, hairdressers and barbers. The three-month pilot, supported by the National Insurance Commission (NIC), Ghana Insurers Association (GIA) and CIIG, will be rolled out in Accra, Kumasi, Koforidua and Tamale through workshops, radio programmes and community engagements.

“We aim to protect capital, families and livelihoods with this campaign and the solutions we provide through insurance services,” she said.

SanlamAllianz Chief Executive Officer Tawiah Ben-Ahmed said the campaign forms part of the company’s corporate social investment, aimed at equipping Ghanaians with financial confidence.

“Every Ghanaian deserves the opportunity to live a better life through financial knowledge and access. Considering the sobering reality of low financial literacy and trust in insurance, we believe it is critical to embark on this initiative to raise awareness, build trust by delivering on claims and provide innovative, inclusive solutions,” he said.

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