The insurance regulator in Ghana is revamping the method for calculating the insurance penetration rate calculation, by adding data for branches such as health insurance and pension insurance to the computations.
Acting commissioner of insurance, Mr Michael Andoh, said in interview with Graphic Business, the NIC had already started work on establishing a new framework. He emphasised that pensions and health insurance are an aspect of insurance, therefore highlighting the need to consolidate all areas and measure the proper penetration rate.
The current methodology only takes into account life and general insurance branches.“But to get the proper consolidated view, we need to get data from the health insurance and the pension sectors, and that is something that we are working on and we hope to get a better view of where the penetration stands,” he stated.
Finance Ministry's backing
Mr Sampson Akligoh, the director of the Financial Sector Division of the Ministry of Finance, said that the ministry was committed to supporting this course, noting that the new Insurance Act supports the policy shift. He said, “So now, the policy discussion with the insurance regulator is how we can move to capture the other aspects of insurance.”
“And if you go to other jurisdictions, they include those figures in their insurance penetration data,” he stated.
To read the original article, please click on this link.