Nana Appiagyei Dankawoso said until insurers became responsive to the business community and ensured the prompt payment of claims, they would get out of business.

Addressing the 30th anniversary awards night of the Ghana Insurance Brokers Association (GIBA) in Accra last Saturday, November 10, 2018, Nana  Dankawoso said “these pertinent issues do not only hurt broking in Ghana but also destroy the insurance industry as a whole”.

The event, which was held on the theme: “30 years of insurance broking in Ghana: Achievements and challenges”, was used to bestow honours on various outstanding insurances companies.

Awardees
KEK Insurance Brokers Limited won the overall best broker company award, while SIC Insurance Company Limited was adjudged the overall non-life insurer.

Enterprise Life Assurance Company Limited received the life insurer award, while the Ghana Reinsurance Company Limited emerged the broker-friendly and supportive reinsurer.

Be responsive

Nana  Dankawoso said there were many reports of insurance companies taking premiums from the business community only to turn their back on the community or sluggishly respond when claims arose.

“If businesses cannot have insurance policies unless they pay all the premiums upfront under the no-premium, no-cover policy, why must they wait for months to receive indemnity for their paid premiums when a claim is triggered?” he queried.

He appealed to insurance companies to help sanitise the industry and compel companies that undercut premiums to pay the claims when they were due.

On the way forward, he advised insurance firms to collaborate with the GNCCI to network with the business community to secure a bigger platform to advocate reforms in the insurance industry.

“In the era of increased competition, we should be innovative and adapt technology that adds value to our work. This will make it easy to interact with our clients and ensure prompt payment of claims to build confidence in our industry,” he advised.

Entice more people

The President of the Private Enterprises Federation, Nana Osei Bonsu, said presently there were only about two million Ghanaians who had life insurance cover for themselves and their properties, in spite of the fact that Ghana had a population of over 28 million.

He blamed the low insurance penetration in the country on the current mistrust and misunderstanding of the industry as a result of exceptions in policy offerings, limited transparency and serious lapses in claims settlement processes.

Nana Bonsu, therefore, asked insurers to initiate research and the development of innovative products, proper education and sensitisation of the public to the benefits of insurance coverage to lead a paradigm shift in attitudes and mind-set change.

Show payment commitment
The President of GIBA, Mrs Lena Adu-Kofi, advised insurance companies to show commitment by paying subscription and levies on time, adding that they should also be well resourced in order to run their businesses effectively.

She said smaller insurance companies must be bold to merge, while others must seek investors who could transform the fortunes of their companies.