Mr. Kwadwo Baah-Wiredu, Minister of Finance and Economic Planning, has appealed to Ghana Insurers Association (GIA) to help make the National Insurance Scheme a reality to Ghanaians.
He said some insurance companies were supportive to the scheme while others notidentifying themselves with the scheme. He added that, it was government's wish that, "those companies sitting on the fence should get on board and provide the necessary support or alternative to make the scheme more beneficial to people of Ghana."
In a speech read on his behalf during the launch of the 2006 insurance week, in Accra, Mr Baah-Wiredu said the Insurance Bill, which seeks to strengthen the National Insurance Commission, streamline the licensing of Insurers, Capitalization, Solvency and financial resources of the Insurance Industry has been approved by Cabinet.
The week, organized by the Association was under the theme, "Insurance, a tool for national development". Currently, he said, the bill is before Parliament, adding that, one of the most important provisions is the separation of life business and general business and that the bill, among others, ensures a code of practice, market conduct, rules and penalties for offenders.
Mr. Baah-Wiredu also said Life Assurance as against Non-life, appears to be falling behind in terms of coverage but there were indications of the quest for new products, which would attract huge savings.
Accordingly, Mr. Baah-Wiredu urged the Association to design more life assurance products which are easily accessible and affordable to bring on board many people who are still ignorant of the inherent benefits of insuring themselves and their dependants.
He said insurance companies must take advantage of the establishment of the Insurance Training Centre which government facilitated its establishment under the auspices of the National Insurance Commission to train their staff for the challenges ahead.
Mr. Baah-Wiredu said in their zeal to sell, Insurance companies promise the public "outrageous things like house mortgages immediately you start your policy, loans, unreasonable sums of money etc."
Instead, he said, the Association and others in the industry must put product training ahead of all other issues, adding, "after all a well trained agent will be more confident and able to sell better". Mr Baah-Wiredu said it is the duty of the Association to map out effective strategies to the expectation of the would be insured and those already in the books of the companies.
Mr Mahama Samba, President of the GIA, said Insurance policy holders must read carefully insurance contracts to become conversant with the contents so that they are not misled by anyone.
Mr Samba said the Association would extend its services to the rural areas so that people there benefit from insurance schemes.
