The Member of Parliament for Atwima Nwabiagya North, Frank Yeboah, has challenged the National Insurance Commission (NIC) to move beyond regulatory directives and implement practical interventions to increase insurance uptake in Ghana.
He said the Commission must demonstrate how its policies were translating into greater public awareness, improved confidence in insurance products and wider coverage, particularly among people in the informal sector.
Mr Yeboah, a member of Parliament’s Public Accounts Committee, made the call when the NIC management appeared before the Committee on Tuesday, October 13, 2026, to respond to audit queries.
Citing the Ministry of Finance’s Insurance Sector Strengthening Strategy (ISSS), issued in May 2025, he said Ghana’s insurance penetration rate stood at approximately one per cent, significantly below the African average of three per cent and the global average of six per cent.
The strategy outlines reforms to strengthen the insurance industry, including improvements in regulation, digital transformation and the expansion of inclusive insurance products to reach underserved populations.
It also identifies limited public awareness and distrust of insurance providers as key barriers to expanding coverage.
Mr Yeboah questioned whether the NIC’s regulatory measures were sufficient to address these challenges, insisting that the Commission needed to demonstrate tangible results.
“My problem is that practically, what are you doing to increase the penetration rate?” he asked.
NIC outlines interventions
Responding to the MP’s concern, the Head of Prudential Supervision at the NIC, Mohammed Hafiz Isahaku, said the Commission was strengthening customer protection requirements to improve public confidence in insurance services.
He cited the Commission’s Conduct Directive, which requires regulated entities to treat customers fairly and meet their obligations, particularly when legitimate insurance claims become due.
The Commission acknowledged that extending insurance coverage beyond the formal economy remained a major challenge, leaving many people in the informal sector without adequate insurance protection.
It said it had developed a framework incorporating demand-side and supply-side interventions to encourage insurance companies to design products that respond to the needs of underserved populations.
Two initiatives highlighted by the Commission were the Campus Care Initiative, which targets the campus population, and the Sandbox Initiative, which allows insurance companies to test innovative solutions intended to expand access to insurance.
However, Mr Yeboah’s concerns underscored the need for the Commission to show how such interventions were translating into increased insurance uptake.
With Ghana’s insurance penetration remaining well below continental and global averages, the challenge is not only to strengthen regulatory compliance but also to make insurance more accessible, trusted and relevant to ordinary Ghanaians.
By: Christian Kpesese
