Insurance companies in Ghana cooperating with new capital requirements, Deputy Insurance Commissioner discloses

The Deputy Insurance Commissioner says insurance companies are cooperating with the new capital requirements.
The companies are expected to submit their capital plans by the end of this month.
But they have up to June 30, 2021, to recapitalise.

According to him, although the companies have raised some concerns regarding the new requirement, they are all cooperating.

Mr Andoh disclosed the information while speaking in an interview with Accra based Citi FM.

He said, “We have been engaging the companies since the announcement was made.”

Adding that “And despite a few concerns raised by some of them, they are all cooperating. And they are all at submitting their capital plans by the end of this month.”

Background

The commission increased the capital for insurance companies from GH¢15,000,000 to GH¢50 million.

For the Reinsurance companies, it was moved from Ghc40 million to Ghc125 million. That for Insurance Broking companies has also been increased from GH¢300,000 to GH¢500,000.

The companies have up to June 30, 2021, to recapitalise.

There are 142 regulated insurance firms made up of 24 life insurance companies, 3 reinsurance companies, 29 non-life insurance companies, and 85 insurance brokers, according to the NIC.

The total assets of the insurance sector as of 2018 is in excess of GH¢6 billion.