How Does an Insurance Broker Make Money in Ghana?

An Accra Street Journal Business Intelligence Brief

Executive Introduction

Insurance brokers are one of the most misunderstood players in Ghana’s financial services sector. Many Ghanaians are familiar with insurance companies but few understand the function and value of insurance brokers . A persistent misconception is that using a broker’s services attracts extra costs . In reality, brokers do not charge clients directly for their services—their remuneration comes from commissions on premiums paid to insurance companies .

This ASJ guide explains exactly how insurance brokers in Ghana earn their income, the scale of the brokerage market, and the ethical framework that governs their compensation.

The Primary Revenue Stream: Commission

Commission is the dominant income source for insurance brokers. The IBAG President explained: “Using a broker’s services does not cost the client anything extra. With or without a broker, you pay the same premium. The broker is paid from the premium you pay to the insurance company” .

The commission is built into the premium as part of the “acquisition cost”—the cost of distribution included in the price . The client does not pay an extra amount out of pocket.

How it works in practice:

The cost of commission is built into the premium

The insurance company pays the broker

The client pays the same premium as without a broker

The broker saves the insurer administrative and marketing costs

Brokers help clients identify risks, find suitable policies, and manage claims. In return, they earn commissions on the policies they place. The commission percentage varies depending on the type of policy, the provider, and the broker’s agreement with the insurer .

Recurring revenue: Brokers often receive commission not just on the initial sale but also on renewals, creating a recurring revenue stream.

The Scale of the Market

Ghana’s insurance brokerage market is substantial and growing. In 2024, total commission income reached GHS 459 million, representing a 34% increase from 2023 . Insurance brokers generated GHS 417 million of this total .

Source: Accra Street Journal analysis of NIC 2024 data

The Market Leaders

The top 10 brokers dominate the market, contributing GHS 250 million, representing 60% of total broker commission .

Source: Accra Street Journal analysis

In 2022, the top three brokers—KEK Insurance Brokers, Willis Towers Watson, and KEK Reinsurance Brokers—held market shares of 15.4%, 9.1%, and 5.4% respectively . The market structure shows that while the top players earn substantial commissions, over 100 licensed brokers operate across the country .

Other Forms of Remuneration

Direct Client Fees (Limited)

While commission is the primary model, some brokers may charge a direct fee to clients for specific services—typically for complex advisory work, risk management consulting, or extra administration support. However, this is not the standard model in Ghana’s retail brokerage market. The IBAG President has been explicit: the standard brokerage service comes at no extra cost to the client .

Performance-Based Incentives

Insurance companies may offer additional compensation based on the volume of business placed, client retention, or portfolio profitability. The Code of Conduct for the Insurance Brokers Association of Ghana states that members shall “place the interests of their clients before any other consideration, including the broker’s own remuneration . This ethical obligation is central to the broker’s role as an independent professional acting in the client’s best interests.

The Broker’s Role and Value Proposition

Understanding how brokers earn helps explain why they exist in the first place. Brokers earn commissions by providing services that insurers would otherwise have to handle themselves:

Sources: The High Street Business

An insurance expert explained: “Insurance policies are essentially contracts, and many people may not fully understand the technical details. Brokers, like lawyers in the insurance marketplace, guide clients in selecting the right products and assist them in making claims .

ASJ Conclusion

Insurance brokers in Ghana earn their income primarily through commissions on premiums—paid by insurance companies, not by clients. The commission is built into the premium, meaning using a broker does not add to the client’s cost. In fact, brokers often help clients save money and avoid potential pitfalls in policy terms or claim settlements .

The market is substantial and growing: GHS 459 million in commission income in 2024, with the top ten brokers capturing 60% of the market . The Code of Conduct ensures that brokers place client interests ahead of their own remuneration, providing a professional, client-first service that justifies their place in the insurance value chain .

Quick Reference: How Brokers Make Money

Last Updated on July 15, 2026 by Samuel Kwame Boadu

Samuel Kwame Boadu

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.

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