National Insurance Commission, NIC, says it will soon compel insurance companies to start publishing their audited financial statements.
According to NIC, the decision to force insurance companies to publish their financial statements is in line with the sector's regulatory requirement and will also bring public confidence to the sector.
Explaining the decision further to Joy FM, Deputy Commissioner at NIC, Micheal Andoh said: "there are companies we call public interest entities they are public interest entities because the public has a stake, entities like a bank people have their monies at the bank like listed companies, you have people who use their monies to buy shares in these companies, insurance is the same, people give their monies to insurance companies to keep and when something happens they get it back, so the public has an interest in these companies, because of powers given them by law they are entitled to information about the public who deal with them, so the regulatory standards require that we let the companies also make some disclosure to the public so just as the companies have information on the policyholders these policyholders will also have information on the companies so that it doesn't look like a one way traffic."
NIC to announce new capital requirement for Insurance companies
National Insurance Commission, NIC, says it will soon announce a new minimum capital requirement for insurance companies in the country.
According to the commission, they are waiting for the Finance Ministry to give approval for them to announce the new capital requirement.
Commissioner of Insurance Justice Yaw Ofori said about 95% of the insurance companies have injected extra capital to be able to meet the yet to be announced minimum capital requirement for the insurance sector.
“The collapse of the banks affected some insurance companies no doubt about at all just like individuals but we are finding ways to encourage them to boost up their capital so that they can meet the minimum capital requirement.”