Bawumia pledges to grow insurance industry after talks with IBAG leadership
Former Vice President Dr. Mahamudu Bawumia has held policy discussions with the leadership of the Insurance Brokers Association of Ghana (IBAG) on practical measures to grow Ghana’s insurance industry.
Dr. Bawumia disclosed in a statement on Tuesday that he met with the IBAG leadership led by its President, Mr. Stephen Kwarteng Yeboah, to deliberate on key challenges facing the sector and proposals to transform it.
According to Dr. Bawumia, Mr. Yeboah raised six key issues affecting the industry, including the high VAT burden on insurance and the need to exempt micro-insurance from VAT to deepen penetration among low-income earners.
Other issues raised were over-regulation and the need for a single regulatory body for the sector; the development of agricultural insurance with government support to protect farmers; and the enforcement of the compulsory use of local brokers for insurance business in Ghana.
The IBAG leadership also proposed compulsory Group Life and Workmen’s Compensation insurance for employers, and the introduction of decennial liability insurance for road construction to ensure long-term accountability for infrastructure projects.
Dr. Bawumia described the proposals as making “strong policy sense,” noting that they have the potential to transform the insurance brokerage industry.
“These proposals make strong policy sense and have the potential to transform the insurance brokerage industry,” he said.
He added that his team will continue to engage IBAG in further policy discussions for the benefit of the industry and Ghana as a whole.
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