‘Unlocking financial inclusion in Ghana: The vital role of insurance companies’
As Ghana strives to deepen financial inclusion, insurance companies can play a pivotal role in achieving this goal. Financial inclusion is crucial for economic growth, poverty reduction and social development.
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Unfortunately, many Ghanaians remain excluded from formal financial services, leaving them vulnerable to financial shocks and unable to access credit, savings and investment opportunities.
With this in mind, the Graphic Business and the Ghana Insurers Association have instituted the yearly Insurance Fair as part of the Insurance Week to promote financial inclusion and educate the public on why insurance must be a way of life.
This year’s event came off last week and it is obvious that a lot more needs to be done to deepen insurance knowledge, especially among the large informal sector. In other words, there is a need to “democratise insurance” in the Ghanaian financial ecosystem.
The Graphic Business acknowledges the role insurance companies play and continue to play in their efforts to rope in a lot more of the uninsured in the country.
However, much more remains to be done to ensure inclusiveness at all levels as insurance products encourage long-term financial planning, providing a foundation for economic stability.
A key point to consider is the extension of coverage to underserved populations such as rural communities and low-income households who are often most vulnerable to financial shocks. This inclusive approach ensures that everyone has access to financial protection. Given that a large number of our people are in the informal sector, such policies must be tailored to their specific needs.
The Graphic Business is aware that many more insurance companies are aggressively proposing this strategy and are leveraging technology to increase accessibility and reduce costs.
It is indeed heartwarming to observe at first-hand the use of technology by insurance companies during the 3-day fair. Digital platforms and mobile apps has simplified policy purchases, claims processing and customer service, making insurance more convenient and affordable.
Above all, continuous educating consumers on financial literacy and planning such as the Graphic Business and GIA platform is one sure way to ensure inclusiveness.
By expanding insurance penetration, Ghana can reduce poverty, stimulate economic growth and promote financial stability. Insurance companies must innovate, collaborate and prioritise customer-centric approaches to unlock financial inclusion for all Ghanaians.
This can also promote financial stability by providing a safety net for individuals and families.
To achieve this, insurance companies must innovate and adapt products to meet the needs of underserved populations.
There is also the need to collaborate with government, NGOs and other stakeholders to increase awareness and access to their numerous products.
It is important to prioritise customer-centric approaches, focusing on affordability, simplicity and convenience.
By working together, we can unlock financial inclusion for all Ghanaians, building a more resilient and prosperous economy for generations to come.
And this is our purpose as a business- to provide our credible platforms as a means to deepen financial knowledge and education for the good of the country.
The Graphic Business is of the firm belief that a high financial literacy among the general populace will not only increase awareness of the many “Ponzi schemes” being paraded as financial services but rather increase savings culture which is critical for the financial services sector growth and development.
