Insurance penetration in Ghana remains stuck at about one percent of GDP—among the lowest in Africa. With over 80% of the workforce in the informal sector and most Ghanaians still uninsured, the industry faces a clear challenge: it cannot grow if people do not understand what insurance is, how it works, or why they need it.
The Problem: Low Penetration Despite High Claims Payments
Let us start with the numbers. Ghana’s insurance penetration rate is around one percent of GDP . Under the new IFRS 17 reporting standard, it is even lower—0.63 percent . This means that despite over 50 licensed insurers operating in the country, the vast majority of Ghanaians still have no form of insurance.
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Yet the industry is paying out billions in claims. In 2024, insurance companies paid a total of GH¢3.3 billion in claims—an average of GH¢4 million daily from life insurers and GH¢5.2 million from non-life insurers . That is approximately GH¢9.2 million paid out every single day .
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So the money is there. Claims are being paid. But most Ghanaians do not know this.
The disconnect is clear. As the National Insurance Commission’s Public Perception, Awareness, and Confidence survey shows, knowledge of insurance has been improving—the knowledge index rose from 51.3 in 2021 to 64.8 in 2024 . Confidence has also been increasing steadily . But these gains are coming from a very low base. There is still a long way to go.
The Root Cause: A Lack of Understanding
The Acting Commissioner of Insurance, Dr Abiba Zakariah, put it plainly: “The majority don’t do insurance mainly because either insurance has not reached them in terms of accessibility, or they do not understand insurance as expected” .
This is the core problem. Many Ghanaians simply do not understand what insurance is or how it works.
The perception problem: Many people believe that insurers are quick to collect premiums but slow to pay claims. The GIA CEO Dr Kingsley Kwesi Kwabahson has debunked this, noting that “Ghanaian insurance companies pay out as much as GHS10 million in claims daily” . However, because this is not widely known, the public has developed misconceptions .
The complexity problem: Insurance policies are often filled with technical jargon that confuses ordinary people. The GIA’s Street Insurance Awareness campaign was designed specifically to “demystify complex insurance terms and policies to make them more understandable” .
The priority problem: As the Managing Director of SanlamAllianz General Insurance Ghana, Mabel Nana Nyarkoa Porbley, explained, “The low level of financial literacy is the reason why insurance is not a priority for many individuals in their daily lives” . When people do not understand insurance, they do not see it as important. When an emergency occurs, they are left vulnerable.
What the Industry Is Doing About It
The Street Insurance Campaign
In July 2025, the Ghana Insurers Association launched a “Street Insurance Awareness” campaign to educate the public directly . Industry players marched through the streets of Accra, Kumasi, Cape Coast, and Takoradi, engaging drivers caught in traffic and members of the public .
The campaign was designed to bring insurance education directly to the everyday Ghanaian, explaining policies and benefits in a relatable way . It also publicised the Claims Management and Advice Bureau (CMAB), which serves as a one-stop centre for resolving insurance-related grievances . The public can reach the Bureau via the shortcode 800442# to lodge complaints or make inquiries remotely .
The SanlamAllianz Financial Education Campaign
In August 2025, SanlamAllianz, in partnership with the NIC, GIA, CIIG, and IBAG, launched a three-month financial literacy campaign aimed at educating and empowering informal sector workers .
The campaign targets traders, dressmakers, tailors, hairdressers, barbers, and other small-scale operators who make up the bulk of the informal economy . It will be rolled out through community workshops, radio programmes, and stakeholder engagements in Accra, Kumasi, Koforidua, and other regional centres .
The Chief Executive Officer of SanlamAllianz, Tawiah Ben-Ahmed, said the campaign forms part of the company’s corporate social investment, aimed at equipping Ghanaians with financial confidence . “Every Ghanaian deserves the opportunity to live a better life through financial knowledge and access,” he said .
The Insurance Fairs
The Graphic Communications Group Ltd, in collaboration with the NIC and GIA, has organised annual insurance fairs in Accra and Kumasi . These events bring together players in the insurance industry and members of the general public, allowing patrons to visit stands, understand policies, and ask questions .
At the 2025 fair in Kumasi, patrons called on insurance companies to intensify education on their policies, stating that “if we are not adequately educated on the policies, enrolling on any of them becomes difficult” .
GLICO’s Financial Literacy Campaign
GLICO Life Insurance has extended its financial literacy campaigns to various organisations, educating staff on the importance of insurance and savings . The company has developed micro-insurance products tailored for low-income earners and those in the informal sector . Despite growth in the sector, the company noted that penetration in Ghana remained below three percent, largely due to misconceptions and lack of public trust .
The NIC’s Inclusive Insurance Drive
The National Insurance Commission has been actively promoting inclusive insurance—making insurance accessible to all Ghanaians regardless of occupation or socioeconomic status . The Acting Commissioner, Michael Kofi Andoh, said: “No matter who you are, whether you are a worker, self-employed, or an artisan, there is an insurance product you can buy” .
The Key Messages Consumers Need to Hear
1. Insurance Companies Pay Claims
One of the most persistent misconceptions is that insurers do not pay claims. This is false. The industry pays billions annually. As the Central Regional Head of the NIC, Nicholina Naa Yeye Adumuah, explained: “That’s a fact that has to be established, insurance companies pay claims. However, delays are not denials” .
2. Insurance Is for Everyone, Not Just the Rich
The NIC has been clear: there is an insurance product for everyone, from market traders to farmers to office workers . Micro-insurance products are now available and accessible, especially to fisherfolk, farmers, and traders .
3. Insurance Is Financial Planning
As one industry expert put it: “Insurance is purely financial planning” . It is not an expense. It is a way to protect your family, your business, and your future.
4. You Can Get Help with Insurance Issues
The Claims Management and Advice Bureau (CMAB) exists to help policyholders with complaints and inquiries. You can reach them via 800442# . If you are not satisfied with how an insurer is treating you, the NIC can intervene .
The Way Forward
The industry is making progress. The NIC’s Public Perception, Awareness, and Confidence survey shows that knowledge and confidence have been increasing steadily . But there is still much work to be done.
Insurance penetration in Ghana remains below one percent . The informal sector—which employs over 80% of the workforce—is largely underserved . Misconceptions and lack of trust persist .
The solution is education. As the SanlamAllianz CEO said: “The low financial literacy levels in Ghana have pushed insurance down the priority list for many individuals and businesses, leaving them vulnerable when misfortunes strike” .
The message is simple. Insurance protects. Insurance pays. Insurance is for everyone. But until consumers truly believe that, the industry will continue to struggle to grow.
Quick Facts
| Topic | Details |
|---|---|
| Insurance Penetration | ~1% of GDP (0.63% under IFRS 17)Â |
| Daily Claims Paid | ~GH¢9.2 million |
| Annual Claims (2024) | GH¢3.3 billion |
| Informal Sector Workforce | Over 80%Â |
| Public Knowledge Index | 64.8 out of 100 (2024)Â |
| Public Confidence Index | Increasing steadily |
| Key Education Initiatives | Street Insurance Campaign, Financial Education Programme, Insurance Fairs |
Frequently Asked Questions
1. Why is insurance penetration so low in Ghana?
The main reasons are lack of accessibility and limited understanding of insurance among the public. Over 80% of the workforce is in the informal sector, and most remain uninsured due to low financial literacy and trust issues .
2. Do insurance companies actually pay claims in Ghana?
Yes. In 2024, the industry paid a total of GH¢3.3 billion in claims—about GH¢9.2 million daily . The perception that insurers do not pay is one of the biggest misconceptions the industry is fighting .
3. What is the Claims Management and Advice Bureau?
It is a one-stop centre established by the Ghana Insurers Association to resolve insurance-related grievances . The public can reach the Bureau via 800442# to lodge complaints or make inquiries .
4. What is the Street Insurance Campaign?
It is a public awareness initiative by the Ghana Insurers Association that brings insurance education directly to the public through street walks and direct engagement with drivers and pedestrians. It aims to demystify complex insurance terms and build trust .
5. What is the SanlamAllianz financial education campaign?
It is a three-month financial literacy campaign launched in partnership with the NIC, GIA, CIIG, and IBAG. It targets informal sector workers including traders, dressmakers, tailors, hairdressers, and barbers through workshops, radio programmes, and community engagements .
6. Why do many Ghanaians not trust insurance?
The perception problem is rooted in misconceptions. Many people believe insurers are quick to collect premiums but slow to pay claims. However, industry leaders have debunked this, noting that claims are paid daily .
7. What is inclusive insurance?
Inclusive insurance is the NIC’s initiative to make insurance accessible to all Ghanaians, regardless of occupation or socioeconomic status. The message is that there is an insurance product for everyone—from market traders to farmers to office workers .
8. How can I get help if I have an issue with my insurance?
You can contact the Claims Management and Advice Bureau via 800442#Â . You can also reach out to the National Insurance Commission directly to seek redress if an insurer is not treating you fairly
Source: Accra Street JournalÂ
Last Updated on August 22, 2026 by Samuel Kwame Boadu
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Samuel Kwame Boadu is a Ghanaian media entrepreneur and storyteller with a passion for amplifying urban voices and uncovering everyday truths. He is the Editor-in-Chief and Founder of Accra Street Journal, a dynamic digital platform dedicated to capturing the pulse of Ghana’s capital—its people, culture, challenges, business, sports and innovations.
