Insurance must cover all
For too long, Ghana's insurance industry has operated within the confines of traditional business models that, while profitable, have systematically excluded the very people who need protection most.
But the current reality is stark. While nearly half of Ghanaians have some insurance coverage, the depth of that protection remains painfully shallow. This isn't just a business problem—it's a moral failing which perpetuates inequality and undermines national development.
The Ghana Insurers Association's declaration that insurance is "not a privilege for the few, but a right for all" represents a revolutionary shift in thinking that could transform not just the industry but the very fabric of Ghana's economic resilience.
This is the spirit behind the Graphic Communications Group Ltd (GCGL) holding the Annual Insurance Fair in collaboration with the National Insurance Commission (NIC) and the Ghana Insurers Association (GIA).
This year’s edition focused on "Boosting Insurance in the Formal and Informal Sectors in Ghana."
The Accra event happened a few weeks ago, while the Kumasi event is underway.
The barriers to insurance inclusion in the country are as psychological as they are economic. Decades of viewing insurance as a luxury item for the educated elite have created a cultural divide that transcends mere affordability.
The industry has inadvertently built walls through complex documentation requirements, intimidating application processes, and products designed by urban professionals for urban professionals.
True inclusivity demands that stakeholders in the insurance industry work together to demolish these walls.
This means abandoning the colonial mindset that equates sophistication with complexity and embracing the radical simplicity that technology now makes possible.
A farmer should be able to purchase crop insurance with the same ease as buying mobile credit. A market trader should understand his or her coverage options without requiring a university degree.
The informal sector, which employs more of the country’s workforce, cannot continue to be treated as an afterthought.
These workers don't need simplified versions of formal sector products—they need entirely new products designed from scratch to meet their unique needs, income patterns, and risk profiles.
The mobile money success story, for instance, provides the perfect blueprint for insurance transformation. When MTN Mobile Money and other platforms made financial services accessible to millions of previously excluded Ghanaians, they didn't just digitise existing banking products—they reimagined what financial inclusion could look like.
The insurance industry must embrace this same revolutionary spirit. Mobile-first insurance products that require no paperwork, no medical examinations, and no physical offices could reach every corner of the country within months, not years.
Artificial Intelligence could assess risks and process claims instantly, removing the bureaucratic friction that currently alienates potential customers.
Imagine a Ghana where a motorbike taxi rider can purchase accident insurance by dialling a USSD code, a pregnant woman in a remote village can access maternal health coverage through her mobile phone, and seasonal workers can toggle their insurance on and off based on their employment status.
This isn't science fiction—it is achievable with today's technology.
How many families were protected from financial ruin? How many small businesses survived because of insurance payouts?
How many children stayed in school because their parents had life insurance?
This shift requires courage from industry leaders who must justify new approaches to shareholders accustomed to traditional metrics. But the long-term rewards—both financial and social—far outweigh the short-term risks.
A truly inclusive insurance market would be exponentially larger than the current exclusive one, generating sustainable profits while building national resilience.
The Government must be more than a regulator in this transformation—it must be a catalyst.
The National Health Insurance Scheme demonstrated the government's capacity to expand coverage, but it also revealed the challenges with implementation and sustainability.
These lessons should inform broader insurance inclusion efforts.
