Outgoing Board Chair of the National Insurance Commission, Ray Ankrah, has disclosed the Insurance Bill, 2020 has received presidential assent.

Prior to this, the Bill earlier went through a second reading on the floor of Parliament back in December 2020. When passed into law, it is meant to replace the Insurance Act of 2006, Act 742 that ensures the industry is well regulated in accordance with international framework and acceptable supervisory standards.

Ray Ankrah who made the disclosure at the 2021 Investiture of the Chartered Insurance Institute of Ghana (CIIG) in Accra said the bill is targeted at increasing insurance penetration in Ghana which currently remains low.

“I am pleased to inform you all that the Insurance Bill, 2020 has received Presidential assent and I am very glad of the work and efforts made by everyone at the NIC, Ministry of Finance and Finance Committee in Parliament in helping us achieve this very important feat,” he stated.

Over the years, the National Insurance Commission, Finance Committee of Parliament and other relevant stakeholder have made various amendments which were incorporated into the bill.

The Insurance Bill, 2020 also seeks to mandate insurance companies to comply with best practices aimed at protecting premiums of insurance paying customers.

In October last year, the Bill was laid before Parliament by the former Finance Minister, Ken Ofori-Atta with the aim of strengthening corporate governance and increasing insurance accessibility especially to the informal sector.