National Insurance Commission

CONTENT
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Foreword 2 Chairman’s Report 5 THE NATIONAL INSURANCE COMMISSION Corporate Information NIC’s Operations THE INSURANCE MARKET 2010 Economic Review Ghana Insurance Market Report (2006 – 2010) Financial & Ratio Analysis APPENDICES 1. 2. 3. 4. 5. Corporate Information 2010 Financial Reports List of Registered Insurance Companies List of Registered Reinsurance Companies List of Registered Broking Companies 8 9

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61 62 77 84 85

Annual Report 2010

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National Insurance Commission

FOREWORD
Preparing for Risk- Based Supervision 2006 marked an important milestone in the Ghanaian insurance industry. The passage and the implementation of Insurance Act, 2006 (Act 724) resulted in very significant changes in the structure and operations of the industry. One major change is the significant increase in the number of insurance companies from 25 in 2006 to 42 in 2007. Although this has resulted in keener competition, the harmful effect of the competition so far cannot be underestimated. This has mainly been in the form of undercutting, unethical underwriting and marketing practices and over reliance on credit to manage the competition. These harmful effects are currently posing major challenges to the growth and efficiency of the industry. The National Insurance Commission (NIC) has therefore decided to find effective and sustainable solutions to these challenges in the form of a risk-based approach to supervision. Insurance regulatory standards and methodologies are fast changing all over the world. The International Association of Insurance Supervisors (IAIS) has revised its Insurance Core Principles (ICPs). The approach to supervision is fast drifting from the compliance and historical toward the risk-based and the forward-looking methodologies. Traditionally, regulatory authorities have attempted to perform their roles by requiring insurance companies to comply with various requirements of laws or subordinate legislations. Experience has however shown that mere compliance with rules and legislations does not mean that a company is and will continue to be financially sound to honour its maturing obligations to policyholders. Risk-based supervision on the other hand, requires supervisors to review the manner in which insurance companies identify and control risks that are associated with their business. This, in turn, allows supervisors to allocate resources and regulatory attention to insurance companies with high unmitigated risk exposures. Generally, risk-based supervisors assess the probability and severity of the material risks to which insurance companies are subject to and the effectiveness of the controls put in place by the insurance companies to reduce the probability of such risk events occurring or the severity of their impacts if they occur. Risk-based supervisors also assess the adequacy of the provisions insurance companies have in place to take care of the occurrence of a risk event even though controls are in place and are functioning properly. From the foregoing, it can be deduced that Risk-based Supervision thrives on a robust legal and reporting framework, sound accounting standards and practices, accurate record keeping, adequate capitalization and effective governance and risk management structures. The NIC is therefore taking steps to address all these issues to lay a good foundation for an effective riskbased supervision model in the Ghanaian insurance industry.

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Annual Report 2010

National Insurance Commission

Introduction of New Prudential Returns In order to obtain timely and adequate information for risk assessment and identification of early warning signals, the NIC has designed new prudential returns in line with International practice to be used by insurance companies to submit periodic returns to the Commission. These returns will be analysed to identify early warning signals as part of the Risk-Based Supervision processes. The returns will be submitted electronically to the NIC via a web-based portal. Insurance Industry Accounting Manual The NIC in consultation with the Institute of Chartered Accountants Ghana (ICAG) has developed an
Accounting Manual to guide the industry to comply with the International Financial Reporting Standards (IFRS). This is aimed at ensuring consistency and comparability in the measurement, presentation and disclosures in the financial reports of insurance companies. Under IFRS, insurance companies will have to fair value their assets and liabilities and make detailed disclosures in their annual reports which will be of immense benefit to policyholders, investors and regulators. Effective 31st December 2012, all insurance companies are required to prepare their annual financial statements to comply with the requirements of IFRS.

Introduction of a New Solvency Framework
The NIC has developed a new solvency framework to replace the current one issued in 2008. The existing guidelines has the same solvency requirements for life and non-life companies which is inappropriate. It also does not take into consideration the major risks that the companies are subject to. The new framework which comes into effect in January 2012, has separate solvency requirements for life and nonlife companies and takes into account some major risks the market currently faces. It also clearly defines allowable capital resources and minimum solvency capital requirements. It requires insurance companies to have admissible representative assets to back their technical provisions. It also has solvency control level to enable the NIC take a proactive approach in monitoring the solvency of insurance companies. Even though the new framework is not fully risk-based, it is a step towards a risk-based capital adequacy framework which will be introduced in the medium term.

Minimum Start–Up Capital
The NIC has proposed an upward review of the minimum start-up capital for an insurance company from the current cedi equivalent of US$1million specified in the Insurance Act, 2006 (Act 724) to the cedi equivalent of US$5million. This decision is aimed (among other things) at improving the efficiency of insurance companies through adequate investments in Information Communication Technology to improve their operational and reporting capacities, build strong governance and risk management structures and acquire other needed infrastructure and resources in readiness for the adoption of RiskBased Supervision by the Commission. Under the proposal, foreign companies are required to meet this directive by December 2012 while Ghanaian owned companies are given up to December 2013 to comply.

Legal Review
The NIC is also reviewing the Insurance Act to enable it serve as a good foundation for a suitable riskbased supervision model. The new draft bill, copies of which have already been released to the industry for consultation, moves away from compliance based rules and rather focuses on systems, controls and governance structures. For example, the draft clearly spells out the responsibilities of the board of

Annual Report 2010

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quantify and manage them. it is expected will then be in a better position to assume its rightful role in the economy and contribute its quota to the development of the nation. The new draft also gives the NIC appropriate powers to enable it take the necessary action if the board of directors and management of insurance companies fail to live up to their responsibilities. The Governance code will have key principles on Board membership. The Risk management code will have principles on internal controls. board subcommittees. will bring significant improvements to the financial soundness. actuarial. non-executive and independent directors. the roles of the four key in-house functions. The industry. Corporate Governance and Risk Management Code The NIC is also preparing to issue a Corporate Governance and Risk Management code to guide the companies in building sound and effective governance and risk management structures.National Insurance Commission directors and management of insurance companies. the key inherent risks insurance companies face and the approach to be used to identify. compliance and risk management functions. stability. 4 Annual Report 2010 . It also requires insurance companies to set up four key in-house functions namely internal audit. external auditors and conflict of interest. which is expected to culminate in the implementation of a suitable risk-based supervision model for the Ghanaian insurance industry. and profitability of the industry. The completion of the above-mentioned projects.

moved to the Marble House and then to its current location. In the near future. Industry Performance The growth in the strength and capacity of the NIC has been accompanied by significant growth of the industry as well. the life sector premium income grew by 52% from GH¢122 million in 2009 to GH¢187 million in 2010 resulting in a 33% growth in total premiums from GH¢343 million in 2009 to GH¢459 million in 2010. the NIC has moved from the era where there used to be just three stand alone computers for the whole organisation to the present era where every staff has a modern computer operating on a networked system to enable effective communication and sharing of information and documents. This will require some considerable amount of resources and expertise but we strongly believe that the benefits will far outweigh the cost. it is expected that the life premiums will outgrow the total non-life premiums in less than five years. in the late nineties to about 60 as at the end of 2010. the entire industry and our development partners over the years. With the support of the Ministry of Finance under various Government of Ghana/World Bank funded projects.National Insurance Commission CHAIRMAN’S REPORT 20 Years of National Insurance Commission 2010 marked the 20th anniversary of the establishment of the National Insurance Commission (NIC). some development partners and the industry. It is important to note the rate of growth of the life premiums. The non-life premium income grew by 23% from GH¢221 million in 2009 to GH¢ 272 million in 2010. The staff strength of the NIC has increased from a mere fifteen (15) mostly seconded staff. The Commissioner’s office which was a one room office located at the Ministry of Finance. management and staff of the NIC. In terms of resources and logistics. Annual Report 2010 5 . The NIC has gone through significant changes in its 20 years of existence. past and current Board of Directors. the life insurance business has contributed more to the industry’s total premium income than the motor business. Insurance Place has seen some significant improvements over the past few years to befit its status as “Ghana’s Insurance Place”. Insurance Place. It is also pertinent to note that for the past two years. The above-mentioned modest gains have been possible due to the hard work and contribution of the Ministry of Finance. If this trend is to continue. I wish to use this medium to express my sincere appreciation to all individuals and organizations who have in diverse ways contributed to the success of the NIC. the NIC plans to change its regulatory methodology from the current compliance based system to a Risk-based model. The NIC can today boast of competent professionals and technical staff including four Actuarial staff.

Programs have also been designed to develop the demand side of micro insurance as well.8%. The development of Agricultural and Micro insurance has been selected for obvious reasons. the development of an insurance awareness index toolkit and a general consumer education program. Government offices and the collapse of buildings under construction have made the creation of the fire fund a very urgent and important project. The recent fire outbreaks at the various regional markets. Agriculture contributes about 30% of the nation’s GDP and micro insurance will cater for the vast majority of Ghanaians who operate in the informal sector and therefore fall outside the scope of conventional insurance.5% and Malaysia – 4. The insurance penetration which is defined as the contribution of total insurance premiums to GDP. This can be compared to South Africa – 14. The NIC expects all private commercial enterprises to patronise the Compulsory Fire Insurance Programme to ensure protection for their businesses in case of fire outbreak or any other risks covered under this policy. Agricultural Insurance In pursuit of the above objective. Microinsurance With respect to micro insurance. 6 Annual Report 2010 . in real terms is still around 1%. that very soon the fund will generate enough monies to enable it provide financial support to the Fire Service and all other such organisations to procure the needed equipment for fire fighting. This agenda is being pursued with technical assistance from some development partners. appropriate provisions have been made in the draft bill to give the needed legal backing to the unique features of micro insurance products and distribution channels. A national Steering Committee made up of all relevant stakeholders has been set up to oversee the implementation of the recommendations in the feasibility report. These include a baseline survey to ascertain the current state of the microinsurance market in Ghana.8%. Compulsory Fire insurance The implementation of the compulsory fire insurance for all private commercial buildings is underway. specific programs have been designed to develop the capacity and provide technical assistance to companies providing micro insurance services. Kenya – 2.3%. the insurance penetration continues to be very low. It is our hope.8% Nigeria – 0. In collaboration with the German International Cooperation (GIZ).National Insurance Commission Insurance Penetration Despite the above mentioned strides in the growth of the industry. The project will initially start with weather indexed insurance products for cereals but will later be expanded to cover other crops and eventually livestock. Namibia – 7. (Source: Swiss Re 2010 Sigma report) The NIC is determined to deepen the insurance penetration in Ghana through the development of Agricultural and Micro insurance. an agricultural insurance feasibility study has been done and the report published. The necessary technical and management committees have also been set up to prosecute the project.

It is expected that the Committee. Conclusion It is the expectation of the Commission that the successful completion of the above initiatives will contribute significantly to the improvement of the efficiency of insurance business and increase the insurance penetration in Ghana with its attendant benefits for the policyholder. Ghana commenced the production of crude oil in commercial quantities. The decline has been attributed to the blatant disregard for section 37 of the Insurance Act by importers. has the potential to. but the Commission will closely monitor developments on this front. with the help of the relevant stakeholders. the insurance industry and the economy. will help to reverse this unfortunate trend. Reviving marine business The NIC and the GIA have put another committee together to implement recommendations made by an earlier committee on ways of reversing the dwindling fortunes of marine insurance. Annual Report 2010 7 . The consortium has subsequently been converted into a pool.National Insurance Commission This programme. It is early days yet. The percentage of marine premiums to total premiums has fallen consistently from about 6% in 2006 to 3% in 2010. Oil and gas In the last quarter of 2010. among other things. significantly boost fire insurance premium income of the Industry in the next few years. the Compulsory Fire for Private Commercial Buildings. The non-life insurance companies came together to pool their capacities in the form of a consortium to underwrite the oil and gas business.

67 Independence Avenue P. Frederick Quayenortey Mrs. Research & External Relations Internal Auditor Chairman Commissioner of Insurance 8 Annual Report 2010 . Martin Dornor Abayateye AADS Consult (Chartered Accountants) Republic House 5th Floor Accra Insurance Place No. Deputy Commissioner of Insurance Legal Director Head. K. Box CT 3456 Cantonments. Michael Kofi Andoh Mr. Isaac Buabeng Mr. O. Sarah Fafa Kpodo Dr.National Insurance Commission CORPOR ATE INFORMATION Board of Directors: Other Directors Secretary: MAnagement Team Auditors: Registered Office Mr. Emmanuel Baba Mahama Mrs Emma Araba Ocran Mrs. Davor Mrs. Simon N. Accra Commissioner of Insurance Ag. Joseph Bentor Mr. Albert Gemegah Mr. Finance & Administration Head. Samuel Amankwah Mr. Nyamikeh Kyiamah Mr. Supervision Head. Nyamikeh Kyiamah Mr. Emma Araba Ocran Mr. Marketing. Justin Amenuvor Ms.

3. 1. Ascoma International. Similarly. The firm’s name has subsequently been changed to “Ascoma Ghana Limited” to reflect the change in control.National Insurance Commission NIC OPER ATIONS LICENSING Insurance Companies The Commission did not license any new insurance company during the year under review. CHANGES IN CONTROL Ascoma Group and its subsidiary. 2. a broking firm. obtained 80% shares in Newland Risk Management Company Limited. the name of Beacon Insurance Company Limited has been changed to “Colina Ghana Limited” following the acquisition of majority shares in the company by Colina Participations of Cote d’Ivoire in 2009. 5. Risk Solutions Limited Riscovery Limited Insurance Solutions Limited KAV Insurance Brokers Limited Trinity Insurance Brokers Limited Risk Management and Advisory Services Limited Bancassurance The National Insurance Commission approved two more bancassurance collaborations between insurance companies and banks during the year under review to enable the banks sell insurance products. as at the end of 2010. 4. • Cal Bank Limited/Glico Life Insurance Company Limited • Stanbic Bank Limited/Metropolitan Life Insurance Ghana Limited This brought to seven (7) the number of approved Bancassurance collaborations. They were. Annual Report 2010 9 . Insurance Brokers The underlisted six (6) insurance broking companies were licensed in 2010. 6.

250. PRODUCT APPROVALS The under-listed products of four companies were approved by the Commission in the year 2010. As has been the trend in previous years. four (4) Life Insurance Companies and one (1) Reinsurance Company which failed to submit their Quarterly Returns and Annual Returns on time to the Commission. nine other companies that underwrite motor insurance were inspected to assess the market’s compliance with the newly approved motor insurance tariffs. Regency Alliance Ins. Co. Ltd. SIC Life Insurance Co. twelve (12) Insurance Broking Companies. Ltd. The areas of common complaints from the motor insurance claimants were as follows: • • • • Repudiation of claim by Insurers Delay in settlement of claims Dispute over quantum Delay in payment of settled claims Product Travel Insurance Plan Travel Insurance Plan Tigo Family Care Assurance Funeral Plan Class of Business Non-life Non-life Life Life 10 Annual Report 2010 . Reinsurance Premium Transfer In pursuance of section 53 of the Insurance Act. the Commission received reinsurance premium transfer applications from Insurers. 2006. In Addition. related to motor claims. were made to pay penalties as prescribed under the Insurance Act 2006.71million. LEGAL MATTERS Enforcement Actions against Insurance Companies During the year 2010. Hence. COMPLAINTS AND SETTLEMENTS BUREAU In the year 2010. €136. most of the complaints received. (Act 724). a total of US$2. sanctions were leveled against Companies that had breached various Sections of the Insurance Act 2006.450 and the dollar equivalent of GH¢985. Vanguard Life Assurance Co.National Insurance Commission COMPLIANCE The inspections unit of the Commission inspected twenty (20) broking firms and twenty-three (23) direct insurers to ascertain the extent of compliance with the Insurance Act. £4. Company Activa International Insurance Gh. the Bureau continued to receive complaints from the public against some Insurance Companies. Eight (8) Non-Life Insurance Companies. Ltd. 2006 and best practice.750 was approved for offshore reinsurance placements. Act 724.

National Insurance Commission Complaints received from Life Insurance policyholders included the following: • • • • • • • Benefits promised by Insurers differ from benefits on policy documents Insurance company’s failure to cease deductions after Policy has been surrendered Payment of low surrender values Delay in processing matured policies for payment Delay in returning refund of wrongful deductions Unauthorized premium deductions Unspecified period of surrender In all. four hundred and forty-five (445) complaints were received from the public against some Insurance Companies during the year under review. of Complaints 129 74 32 28 25 18 18 15 14 13 12 10 10 10 9 7 5 5 4 3 3 1 445 Annual Report 2010 11 . Insurance Companies Uninsured SIC Insurance Company Limited Enterprise Life Assurance Company Limited Unique Insurance Company Limited IGI (Ghana) Company Limited Star Assurance Company Limited Quality Insurance Company Limited GLICO Life Star Life Assurance Company Limited Provident Insurance Company Limited Ecowas Brown Card Vanguard Assurance Company Limited Ghana Life Insurance Company Limited CDH Insurance Company Limited Metropolitan Insurance Company Limited Donewell Insurance Company Limited Golden Life Insurance Company Limited The Great African Insurance Company Limited* Regency Alliance Insurance Company Limited Reliance Insurance Company Limited* Unique Life Insurance Company Limited Quality Life Insurance Company Limited Total *These are Companies whose licenses were cancelled in 1998. No.

the Fund realized a total income of Six Hundred and Six Thousand One Hundred and Twenty-Seven Ghana Cedis (GH¢606. The Compensation Fund Committee is made up of Officers from the National Insurance Commission (NIC) and Insurance Companies that underwrite Motor Insurance business.00).738. Expenditure included compensation to accident victims. The Commissioner of Insurance is the Chairperson of the Committee. • Change of ownership • Inappropriate driving licence • Driving without a licence A breakdown of awards is as follows: YEAR 2010 2009 2008 2007 nO.290. 12 Annual Report 2010 . The reasons for compensation from the Fund were as follows: • Uninsured vehicles • Hit and run • Breach of policy conditions such as. The Committee continued with its core functions of making Awards to persons. OF AWARDS 142 146 106 90 TOTAL AMOUNT (GH¢) 175.911 107.00) was paid as compensation to one Hundred and forty-two (142) applicants from the Fund.119 During the period under review. contribution to the National Road Safety Commission (NRSC).127) made up of Motor contributions from Insurance Companies.738 159. Awards Sub-committee The Awards Sub-committee of the Motor Compensation Fund Committee held twenty-one (21) sittings during the year.260 77. Life Insurance and Compulsory Fire Insurance for Private Commercial Buildings. investment income and interest earned on bank deposits.National Insurance Commission MOTOR COMPENSATION FUND The Motor Compensation Fund set up in 1996 to compensate persons who suffer injuries or die in a motor accident but who are unable to get compensation from an Insurance Company for various Insurance provision(s) continued to petition the Fund for compensation. public education and general expenses. This totaled Four Hundred and Eight Thousand Two Hundred and Ninety Ghana Cedis (GH¢408. A total amount of One Hundred and Seventy-Five Thousand Seven Hundred and Thirty-eight Ghana Cedis (GH¢175. It also intensified the publicity and Public Educational Programme on Motor Insurance.

The Commission appreciates these complaints since it affords the NIC the opportunity to address grievances lodged by the Public.730. the Motor Compensation Fund.National Insurance Commission Investment income. The number of complaints received by the Commission during the year increased as a result of these Public Educational Programmes. Also it enables the NIC determine which Insurance Company is unable to pay claims due to (probably) inadequate funds. to educate commercial drivers and the general public. The Commission carried out public education programmes in the Regional and District Capitals. The educational team visited Kumasi.00). SPONSORSHIP OF INSURANCE INDUSTRY PUBLICITY ACTIVITIES During the year under review. the contact offices will receive the complaints and forward them to Accra for consideration. Annual Report 2010 13 . Motor Insurance policies. the public requested that NIC offices should be established in at least the Regional Capitals. The public observed that instead of travelling to Accra or Kumasi to lodge their complaints. Armed with this information the Commission took the necessary regulatory action against a number of Companies. made up of Shares and Treasury Bills stood at One Million Seven Hundred and Thirty Thousand One Hundred and Nineteen Ghana Cedis (GH¢1. the Commission with the support of the Motor Compensation Fund Committee continued to promote Public Education on Insurance.119. Indeed the Public response to the Public Educational Programme has been very encouraging. Topics for discussions included role and functions of the NIC. This they noted will cut down on cost and time. Koforidua. Assin Fosu. The Public Education in the Regions were successful. especially Motor Insurance. Cape Coast. At the various radio stations and the public fora. The Public appreciated the exposure on Insurance matters. Life Insurance and the Compulsory Fire Insurance for Private Commercial Buildings. Akim Oda. Jirapa and Wa.

In tandem with growth in the sub-region. On the other hand. insurance and financial services. 2011) Inflationary pressures in the sub region similarly eased in almost all countries in the first half of the year. In West and sub-Saharan Africa.78%).2 percent. fuel and food crises of 2007. With the economy set to record double digit growth.For most advanced economies.2% but remarkably closed the year at 8.28% compared to 22. The Agriculture sector grew by 4. 14 Annual Report 2010 . emerging and developing economies recorded vibrant economic activity with some inflationary pressures.3 percent achieved in 2009. transportation.5% in 2009. In the WAMZ countries. Inflation was projected to end the year at 9.61% respectively but depreciated against the US Dollar by 1.National Insurance Commission THE INSUR ANCE MARKET OVERVIEW ECONOMIC REVIEW 2010 The global economy in 2010 recovered slowly from the major recession brought about by the global financial.5 percent recorded in 2010 and projected to 5. cocoa and coffee.0 percent and 6.2008.0 percent in 2009.8 percent. (Ghana Statistical Service.1 percent respectively. Outlook for 2011 The production of crude oil in commercial quantities began in December 2010. This is expected to push the GDP growth to over 12% in 2011. and the highest rate achieved since 2003. End of year real growth therefore averaged 7. (Bank of Ghana. it is expected that companies involved in ancillary industries such as energy. above the 6.7 percent in 2011.6% which was the lowest since June 1992 (2009: 14. They are therefore confronted with major adjustment problems. the financial crises left in its toll huge public debt and a fragile financial sector.5%. This compares favourably with the growth rate of 2.5% from 18% by December 2010. macroeconomic performance for the first half of 2010 showed a significant improvement over the corresponding period in 2009. Interest rates declined with the benchmark 91-Day Treasury Bill rate ending the year at 12.3%.The cedi also performed well against the major currencies and appreciated against the Pound and Euro by 2. 2010). whiles the industry and services sectors grew by 7. This was on the back of rising prices of commodities such as gold. although shy of the target of 6. economic recovery has been faster than expected with growth rate of 4. The Bank of Ghana key policy rate also declined to 13. sluggish growth and high unemployment rates. and real estate would take advantage of the emerging opportunities as an oil and gas producing nation.9% in GDP. aided to a large extent by availability of food in the region and a relatively stable currency. Ghana’s economy recorded a growth of 5.68% and 6.

0 Fig. the rate of growth showed some fluctuations. For instance.718 278.973.554.National Insurance Commission GHANA INSUR ANCE MARKET REPORT 2006 -10 INDUSTRY PERFORMANCE As has been the trend.7% in 2008.7 23. then fell to about 23%.6 32..6% in 2007 to 32.719 458.694. the rate increased from 27.266 209. Table 1: Growth in Total Gross Premium Income (Non-Life and Life) 2006 – 2010 Year 2006 2007 2008 2009 2010 Premium Income (GH¢) 164.2 33.255. 1. Total gross premium for year 2010 was GH¢ 458.6million representing a growth rate of 33% from the previous year.207.2010 300 250 200 150 100 50 0 2006 2007 2008 2009 2010 Non-Life Life Annual Report 2010 15 . before rising again to 33% in year 2010 (Refer to table 1 below). Although there was an increase in the absolute amounts over the five-year period 2006 – 2010. Growth in Total Gross Premium Income (Life & Non-life) 2006 .336 342. the insurance market continued to post positive growth in gross written premium.764 Growth Rate 27.

597. Table 2: Growth in Gross Premium Income (Non-Life) 2006 . confirming the huge potential for growth in this sector.969 142. This sector has recorded a much higher growth than the non-life for the past 5 years.2010 Year 2006 2007 2008 2009 2010 Premium Income (GH¢) 114.6million in 2010.0 Figure 2. 16 Annual Report 2010 .020. Table 2 below).077 187.5 million in year 2006 to GH¢271. Gross premium for 2010 increased to GH¢187million from GH¢122.2million in 2009.010.263 271. Table 3 below).9 31.942 Growth Rate 23.0 23. this trend is expected to continue (Ref. Growth in Gross Premium Income (Non-Life) 2006-2010 35% Percentage increase 30% 25% 20% 15% 10% 5% 0% 2006 2007 2008 2009 2010 Gross Life Premium Income Life insurance premiums increased at a rate of 52% in 2010 as compared to 34% the previous year. 634.704.National Insurance Commission Gross Non-Life Premium Income A greater portion of total industry premiums has always come from the non-life business.274 220. The effective implementation of the newly approved motor tariffs and the compulsory insurance of buildings are expected to make a positive impact on the growth in premiums (Ref.6 18. The rate of growth has been undulating showing a rise of 23% in 2010 from 18% in the previous year. With the long-term nature of premium and commission payments coupled with innovation with respect to products and channels of distribution. Gross premiums from the non-life sector rose from GH¢114.

822 Growth Rate 36.297 67.2010 Year 2006 2007 2008 2009 2010 Premium Income (GH¢) 49.641 91.0 Fig.059.609.534.0 2006 2007 2008 2009 2010 Annual Report 2010 17 .0 50.269.1 35.National Insurance Commission Table 3: Growth in Gross Premium Income (Life) 2006 .062 122.0 52. 3 Growth in Gross Premium income ( Life) 2006 -2010 200.456 187.0 150.0 0.1 34.0 100.245.

442 4.218.000 4.857 447.289 2.877.879 16.563 25.650 1.108 1.886.553 3.081 15.080 114.077 341.052.000 6.997.021 10.020.956 3.391 44.530 7.474 7.697.969 10.794.464 802.936.115.534.253 2.000 5.833 11.556.999.654.103.145 382.187.547 3.759.Table 4: Company Performance .397 3.888.538 4.500 9.651.942 2007 (GH¢) 2008 (GH¢) 2009 (GH¢) 20010 (GH¢) National Insurance Commission 18 Company Activa International Allianz Insurance Colina Insurance Company Limited Annual Report 2010 Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Insurance Company Limited Ghana Union Insurance Company Limited Glico General Insurance Company Limited Industrial & General Insurance Limited International Energy Insurance Company Limited Intercontinental Wapic Insurance Company Limited Metropolitan Insurance Company Limited NEM Insurance Ghana Limited.573.829 26.597.840.268.057.704.163.215 19.999 2.567 19.219.991 4.356 13.889 11.910 7.032.258.000 3.276 2.434 4.828.352 6.057.947 1.789 3.504 64.603.000 2.535.418.400 4.577 18. NSIA Insurance Ghana Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited.263.213.263 64.596 7.820 133.159.313.606.092.950.616 4.251 6.091 142.634.233.425.388 3.942.571.429 28.326.132.443 4.805.368.296.773.596.684 10.683.010.130.400 3.595 8.125 2.383.757.175.671 5.114.263 1.783 220.624 271.034.036 1.280.336.757 1.922 5.403.285.102 108.670.210.873.000 552.784 1.412.309 7.765 28.288 22.996 5.774 56.159.710 4.741 10.546 52.658.026.336.042.234.017.161 9.559.650.558 10.356 10.943. Regency Alliance Insurance Company Limited SIC Insurance Company Limited Star Assurance Company limited Unique Insurance Company Limited Vanguard Assurance Company Limited TOTAL .195 728.072.148 21.047.000 6.274 398.Non-Life 2006 (GH¢) 2.740 9.257.250 15.531 1.885.198 187.898 24.581.457 7.697 2.800 7.270 4.163.972 1.264 4.992 1.116.041.771.769 12.008.834 6.000 2.661 58.972 5.888.792 97.918.168.

845 3.147.101 17.603.795.488 2.036.143.751.059.377.897 3.983 616.429.950 40.317.450.771.048.157 1.448 6.104.330.656.062 12.643.822 2007 (GH¢) 2008 (GH¢) 2009 (GH¢) 20010 (GH¢) Company Capital Express Assurance (Gh) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Assurance Company Limited Ghana Life Insurance company Limited Ghana Union Assurance Company Limited Golden Life Assurance Company Limited Glico Life Insurance company Limited IGI Life Insurance company Limited.269.820.697 49.603 964.733 541. MetLife Insurance Ghana Limited Phoenix Life Insurance company Limited.149 5.000 1.044.456 597.191 1.021.887 2.236.193 111.109 3.310.802 27.853.152 6.238.780 7.113 790.788 2.609.773 5.468.208 3.534.000 1.515.880 1.990 16.129.933 91.702.008.892.218.553 23.602 14.878 73.492 275.761 1.990 10.282.866.722 9.494 3.245.000 1.668 15.562 2.089 3. Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Insurance company Limited Starlife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited TOTAL National Insurance Commission Annual Report 2010 19 .725 738.827 48.271 308.342 8.068.071 33.647.042.196.318 4.641 220.659 12.443.094.970 2.126 138.741 130.351.636 4.978 21.675 8.269.062 122.488 1.742.071 2.948 99.Table 5: Company Performance .784.293 1.138 4.222 1.Life 2006 (GH¢) 653 0 0 90.297 3.222.000 10.869.849 187.136.439.032.576.000 422.186 6.887 10.668 2.705.331.508 491.236.014 236.450 1.411 1.183 7.592.038.692.011 70.063.300 4.011.238 67.596.270 21.705.000 2.000 4.900.703 18.412 3.600.

084 52.768. It is also likely that insurance companies have begun increasing their own capacities in preparation for the proposed recapitalization in 2012.Reinsurance (Non-Life) 2006 – 2010 Year 2006 2007 2008 2009 2010 Premium Income (GH¢) 32.607 1. gross premiums for life increased slightly by 9% in 2010 compared to 32% in 2009 for direct insurers.3 -7.681.0 Table 7: Growth in Reinsurance Gross Premium Income (Life) 2006 – 2010 Year 2006 2007 2008 2009 2010 Premium Income (GH¢) 820.National Insurance Commission Reinsurance Premium Income Contrary to the popular assertion that the performance of reinsurers mimic that of their reinsureds to a large extent. 4 Growth in Premium Income .Reinsurance (Non-life) 2006 .6 32.017.180 541. this was not the case for year 2010.0 6.694 56. Table 6: Growth in Gross Premium Income .476 38.054 Growth Rate 19.9 39. Also. Whereas direct insurers recorded a positive growth in gross premiums.528.500 1.125 Growth Rate -33.239 53.9 113.156.2010 40% 30% 20% 10% 0% -10% 2006 2007 2008 2009 2010 20 Annual Report 2010 .1 9.383.296 1. Fig. for some reason.399. non-life premiums for the reinsurers decreased by 7%.0 This turn of events could be attributed to a number of reasons including the possibility of an adverse effect of the withdrawal of the 20% compulsory cession to Ghana Reinsurance Company Limited.780.

Accident business contributed the second highest premiums in the non-life class. representing an increase of nearly GH¢23 million over the 2009 figure. Premium Income by Class of Business (2006 . all commercial buildings including those under construction will be required to insure against the risk of fire among others. This is expected to significantly improve this line of non-life business. Total gross premium for fire insurance for 2010 was GH¢56. All is set for the implementation of sections 183 and 184 of Insurance Act.8 million and a market share of 15. It is obvious from the table 8 below that premiums have been increasing at a decreasing rate.9 million in 2010 from a previous year’s figure of GH¢105.2010 120% 100% 80% 60% 40% 20% 0% -20% -40% 2006 2007 2008 2009 2010 Clearly. competition gets stiffer each year especially with the presence of foreign companies on the Ghanaian insurance market hence. Insurance companies should be proactive and explore ways of developing this line of business. There has been a 30% upward review in motor tariffs and this is expected to make an impact in the growth of premiums if companies commit to its effective implementation. various policies are underwritten as part of accident business. With this. Marine insurance contributed GH¢13. Total premium was GH¢71.2010) Motor insurance continued to be the highest contributor of gross premiums for the non-life sector. which is very remarkable. 2006 (Act 724) with effect from August 1. This sector has gained 10.2 million from GH¢50.6 million. 5 Growth in Premium Income . In Ghana. 2011. In 2009 its share was almost GH¢10 million and has always been the least contributor with regards to total market premiums. Total premium for life insurance has increased steadily over the period. One thing worth noting is the introduction of new distribution channels including brokers and banks.5% market share between 2006 and 2010.National Insurance Commission Fig. Annual Report 2010 21 .7%. local reinsurers must enhance their services to enable them compete favourably with their foreign counterparts who pride themselves in their international ratings. Market share has just started picking up after two falls.6 million in terms of gross premiums in 2010 which represented 3% of total market share.06 million in the preceding year. Total premium for this line of business was GH¢123.Reinsurance (Life) 2006 .

770.457 9.7 3.336 % 32.847.150 49.694.637 122.National Insurance Commission Fig.7 100 2010 (GH¢) 123.049.285 271.457 50.609.7 100 *Includes Travel and Bonds Table 9: Premium Income by Class of Business (2010) Class of Business Motor General Accident Burglary Workmen’s Compensation Personal Accident Public /Bankers Liability Engineering/CAR Marine Cargo Marine Hull/Aviation Fire Others (incl.456 342.533 9.721 7.717.061.786 49.671.719 % 30.9 18.210 71.344.8 32.266 % 35.062 278.917.228.0 14.8 17. Bonds) Total Amount (GH¢) 123.973.2 0.228.215 24.9 14.297 164.154.942 22 Annual Report 2010 .0 12.390 989.355 8.255.2 32.033.350 91.9 11.822 458.607 13.458 56.764 % 27.687 48.200 2.0 15.091.3 30.571 1.554.6 1.995.3 1.468.364 5.964.848 56.428 651. Travel. 6 Premium Income by Class of Business 200 180 Premium income (GHC'm) 160 140 120 100 80 60 40 20 0 2006 2007 2008 2009 2010 Motor Accident Marine Fire Others Life/Health Table 8: Premium Income Distribution By Class of Business 2006 -2010 Company Motor Accident Marine Fire Others* Life/Health TOTAL 2006 (GH¢) 59.9 14.534.093.641 209.923 187.756 13.7 0.7 100 2009 (GH¢) 105.9 13.7 4.207.337.718 % 32.943.2 100 2008 (GH¢) 91.355 5.061.790 22.2 100 2007 (GH¢) 69.646.8 11.172 6.7 35.245.911.858 37.911.068.838.108.210 54.818 31.660.192 423.269.446.550 9.455.841 412.059.3 40.634.6 6.2 2.735.860 23.399.1 4.320 12.355 67.

610.342 251.421 45. PERFORMANCE OF THE BROKING COMPANIES Total market brokerage earned for year 2010 was GH¢16.446 50.648 867.550 183.071 242.198 165.469 290.337 125.524 43. As at the time of compiling this report.116 976.527 76. A 10% increase was projected for some six companies whose audited accounts are yet to be submitted to the Commission.519 180.213 18.828 80.780 252.354 263. There was however a fall in growth of 19%.408 682.145 524.183 60.384 190.695 185.967 Annual Report 2010 23 .506 242.543 1.061 152.975 22.205 27.991 2.279 40.747 58.737 73.598 323.613 94.462 150.917 44.263 40.967 224.277 264.316 32.512 25.748 11.258 75.633 74.National Insurance Commission THE BROKER MARKET Six (6) new broking firms were licensed bringing the total number of insurance brokers in the industry to forty-eight (48) in the year 2010.564 61.286 39.603 59.330 55.*** All Risks Alliance Allied Alpha Akoto Risk Apex Ark Asterix Ceris Claim Crown Danniads Double D & M*** Dynamic Edward Mensah.984 52.052.112 57.245 172.132 66.850 309.467 234.505 273.637 275.154.381 73.777 5.970 6.720 498.838 5.616 140.006 941.717 15.613 332.418 23.952 41.399 300.017 347.347 14.702 605.501 105. 36 broking firms had submitted their audited accounts for 2010.334 540.520 7.222 61.060 433.080.287 133.432 2. Table 10: Brokerage Earned (2006 – 2010) Company AG & Assoc.866 57.438 55.747 338.900 57.596 266.545 68.577 3.230 21.721 105.015 229.104 19.344 70.948 584.164 36.5milion representing a growth rate of 18% from the previous year. Global Impact Gras Savoye Horizon Insurance Centre Insurance Consultancies Int’l Consortium Inter-Africa*** Jerock*** 202.864 19.336 88.766 152.957 428.551 36.364 100.718 142.447 454.295 11.097 14.623 61.640 226.229 382.164 1. Wood First Anchor Ghana Int’l Ins.891 31.168 453.906 49.643 101.727 267.666 3.656 2006 (GH¢) 2007 (GH¢) 2008 (GH¢) 2009 (GH¢) 20110 (GH¢) 129.116 252.178 34.

399 77.073 10.720 94.216 46.054 10. Maxpal Interm.756.373 65.129 521. others lost drastically.0 Note: ***A 10% increase in gross earnings has been projected for companies whose audited accounts for year 2010 had not been submitted as at the time of this report.096 171.283.1 10. Midas*** Newland Risk Premier Brokers Progressive Prudent Safety Saviour Shield Trans-National Tri-Star UD Ins. gross brokerage has shown some fluctuations in the rate of growth.664 122.975 154. It is evident from the individual performance that whereas some companies increased their incomes significantly.283.945. The rate increased sharply in year 2008 to 46.338 212.266 3.1% but has plummeted since.196 213..274 545.837 145.0 10.600.152 116.058 534.505.685 82.962 124.977 264.384 44.144.406.382 142.8 77.846 120.617 23.260 5.470 68.705 13.1 37.602 4.135 208.070 297.315.982 Growth Rate (%) 24.010 122.032 13.884 67.913 73.233 63.561 16.152 2.321 624.911 112.215 176.481 6.707 56.458 117.National Insurance Commission KEK KEK Reinsurance Lordship Manyo-Plange*** Marine & Gen. Table 11: Growth in Commissions Earned 2006 .983.784 65.901 38.8 11.024 302.916 178.132 324.0 24 Annual Report 2010 .0 18.945. Similar to the growth in gross premiums.233 157.191.328 27. Universal TOTAL 2.510 582.833 104.258 540.952 84.835 108.715 19.125 127.216 17.486 86.364 171.983.054 10.275 102.982 Earnings of top 10 companies Percentage of top 10 companies 5.216 278.451 6.287 23.093 72. It is possible that some companies are not striving hard enough.207.868.215 69.038 40.8 7.316.456 58.2010 Year 2006 2007 2008 2009 2010 Commission Earned (¢) 6.642.723 6.654 4.367 39.240 255.558.231 135.942 196.773 167.186 65.461 51.502 217.5 46.055 19.155 150.561 16.878 2.705 13.558.593 596.383 172.183 125.246 3.144.991 28. Serv.278 193.

an umbrella body for insurance agents.558.283.406. Annual Report 2010 25 .000 tied active agents in Ghana. For instance.093 10. Crown Brokers Limited became the 4th highest.945.5million representing 72% of the total commissions earned in 2010 as against 73.2010 Year 2006 2007 2008 2009 2010 Commission Earned (GH¢) 6. companies have discovered new ways of distributing their products. or performing other services for which fees could be charged. The National Association of Ghana Insurance Agents (NAGIA). small companies may consider merging to create very strong ones.7% the preceding year. whilst Safety Insurance Brokers Limited retained its 5th position (Refer to table 10 above).2010) 20 Brokerage (GHC'm) 15 10 5 0 2006 2007 2008 Year 2009 2010 The top ten broking companies contributed GH¢11. In a bid to increase market share.National Insurance Commission The market could also do with changes in their operations. Table 12: Contributions of Top 10 Companies 2006 . Wood and Associates Limited with 13%. The top 5 companies contributed 55%.481 6. Hitherto the Commission had licensed individual agents who sell for one specific insurance company. banks are licensed as corporate agents to sell insurance products to their clients and earn some commission in return. 2006 earned the 3rd highest income.054 10.705 13.713 16.207.315.260 5. So far. followed by Edward Mensah.792 11. INSURANCE AGENTS There are about 4. leading to the establishment of bancassurance partnerships. KEK Insurance Brokers Limited continued to be the highest earner (contributing 27% of overall income).685 7.132 It is worthy to note that Gras Savoye Ghana Limited. 7 Brokearage Earned ( 2006 . a French company that was incorporated in October.316. governs most of these. Seven banks have been licensed as such. Fig. With this.939.963.144.982 Earnings by Top 10 Companies 5.

8 235.6 139.3 252.6 125. the non-life sector grew by just 23% in terms of gross premium income.National Insurance Commission INSUR ANCE MARKET FINANCIAL AND R ATIO ANALYSIS INTRODUCTION Whereas the Life sector grew by 52% from 2009 to 2010.6 582 231.5 Growth Rate 52% 45% 36% 44% 31% Table 14: Key Growth Indicators (NON-LIFE) 2009 .2010 Indicator Premium Income Premium Debtors Total Assets Total Investments Technical Provisions Total Capitalisation 2009 (GH¢’ m) 220.1 243.3 129 220. the life sector appears to be growing much faster than the non-life sector.8 130 471 211. Table 13: Key Growth Indicators (LIFE) 2009 .2010 Indicator Premium Income Total Assets Total Investments Actuarial Liabilities Total Capitalisation 2009 (GH¢’ m) 122.7 312.3 167.6 Growth Rate 23% -3% 24% 10% 9% 42% The industry average key performance indicators (ratios) are presented in the tables below for non-life and life respectively 26 Annual Report 2010 . The various growth and performance indicators are summarized in the tables below. by all indicators.0 89.7 2010 (GH¢’ m) 187.1 172.8 2010 (GH¢’ m) 271.0 70. Generally.0 366.

0x -16 16 4 72 2009 39 59 98 96 16 26 3.874 458.58% 1.2010 RATIO Claims (%) Expense (%) Combined (%) Retention (%) Investment Income as a % of Investments (%) Investment Income as a % of Premiums (%) Gross Premium to Equity Underwriting Profit as a % of Gross Premium (%) Return on Equity (%) Return on Assets (%) Investments to Total Assets(%) 2007 31 32 63 98 6 16 1.5 32.49% 1.2010 RATIO Claims (%) Expense (%) Combined (%) Retention (%) Investment Income as a % of Investments (%) Investment Income as a % of Premiums (%) Gross Premium to Equity Outstanding premiums as % of Gross Premium (%) Outstanding premiums as a % of Total Assets (%) Investments to Total Assets (%) Underwriting Profit as a % of Gross Premium (%) Return on Assets (%) Return on Equity (%) 2007 16 30 46 64 10 6 1.795 164.8x 43 27 40 -2 2 4 Table 16: Industry Average Ratios (Life) 2007 .National Insurance Commission Table 15: Industry Average Ratios (Non-life) 2007 .4x -21 10 2 67 Table 17: Gross Premium Growth and Penetration Year 2005 2006 2007 2008 2009 2010 Gross Premium Income (GH¢) 122.769 Growth Rate (%) 32.0 Insurance Penetration 1.072.409 276.8x 43 29 45 2 9 21 2009 18 43 61 72 14 7 1.694.9x 34 25 52 4 6 18 2008 17 34 51 62 9 6 1.89% Annual Report 2010 27 .26% 1.494.2 33.325.2 27.733 343.0 23.2x -16 7 7 72 2008 36 40 76 96 11 18 2.457.1 34.207.266 209.58% 1.9x 44 29 39 -6 6 10 2010 17 41 58 71 12 9 1.9x -49 -12 -5 62 2010 34 43 77 98 12 16 2.40% 1.

the better the underwriting efficiency. Table 18: CLAIMS RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterpirse Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 31 13 77 0 32 68 54 33 10 19 16 52 31 55 41 Percentage (%) 2008 36 29 18 55 14 40 51 71 40 20 50 21 56 31 20 53 2009 39 1 43 20 1 76 15 41 31 57 36 22 72 21 59 31 17 45 2010 34 44 17 2 57 42 52 34 43 30 31 19 20 49 33 21 56 28 Annual Report 2010 . which is the percentage of claims incurred to gross premiums. measures underwriting efficiency. withdrawals and maturities. In Life business. claims are made up of surrenders. The claim ratios of the life companies for the four-year period under review are significantly higher than those for the non-life companies. This is because of the high surrender and withdrawal rates. The lower the ratio.National Insurance Commission PERFORMANCE INDICATORS LIFE COMPANIES Claims Ratio: The Claims ratio.

Express Life recorded a very low ratio because it is still relatively new. the better in terms of management efficiency. Unique Life and Quality Life are below the industry average. the ratios of Enterprise Life. the ratio for Metropolitan Life. Unique life and Phoenix Life have consistently been above the industry average. Ghana Life. Expense Ratio The Expense ratio is the percentage of total management expenses to gross premiums. GLICO Life and Enterprise Life have consistently been below the industry average for the four-year period under review. The lower the ratio. The significantly higher ratios for IGI Life for the four-year period is because of low business volumes. which are not able to support current overhead expenses. However. However. Provident Life recorded the most dramatic change from 72% in 2009 to 19% in 2010. The ratios of SIC Life. Golden life. Annual Report 2010 29 .National Insurance Commission The industry average ratio fell from 39% in 2009 to 34% in 2010. Table 19: EXPENSE RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 32 27 35 23 44 66 61 49 19 12 19 44 82 32 Percentage (%) 2008 40 39 28 35 43 31 52 236 53 62 37 50 22 40 96 25 2009 59 546 51 26 581 57 39 28 87 201 60 67 43 48 24 36 87 28 2010 43 54 23 174 53 36 27 85 200 57 64 23 45 22 32 67 21 The industry average dropped from 59% in 2009 to 43% in 2010. Vanguard Life and SIC Life are significantly above the industry average. The ratios of Glico Life.

the ratios of IGI Life for the four-year period is dangerously high. 30 Annual Report 2010 . The ratios of Ghana Life. Golden Life and Unique Life are significantly above the industry average.National Insurance Commission Combined Ratio This is calculated as Total Claims + Total Management Expenses divided by Gross Premium. It is combination of the claims and management ratios. Table 20: COMBINED RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 63 40 112 56 112 120 93 59 38 28 70 75 137 73 Percentage (%) 2008 76 68 46 90 57 71 103 307 93 82 86 70 77 71 116 79 2009 98 547 94 45 583 133 53 69 118 258 96 89 115 69 83 67 104 72 2010 96 98 40 176 110 78 79 119 243 87 95 42 65 71 65 88 77 The industry average fell from 98% in 2009 to 96% in 2010. However.

National Insurance Commission Return on Equity Ratio Return on Equity is the Net Profit after tax as a percentage of Shareholders’ funds (Equity). The ratios of Enterprise Life for the four-year period under review indicates a good performance. Annual Report 2010 31 . the higher the percentage. Table 21: RETURN ON EQUITY RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 7 39 173 1 43 1 12 -246 24 1 17 12 3 1 28 Percentage (%) 2008 16 39 160 43 15 5 12 59 26 -102 3 5 1 10 26 16 33 2009 . However.5 8 38 26 -5 15 -32 2 The industry average ratio moved from negative 12% in 2009 to positive 10% in 2010.12 -71 -108 29 -96 5 12 26 41 -30 -351 17 -226 9 -8 18 -26 -1 2010 . Express Life. It measures the profitability of the companies.10 -65 55 -108 23 22 -5 -111 -507 -0. IGI Life and Donewell Life for 2010 are because of operational losses worsened by inadequate capitalisation. the more profitable the company. the ratios of Golden Life.

National Insurance Commission Retention Ratio Retention ratio is a risk management ratio. This ratio measures the percentage of Net Premiums to Gross Premiums. The rather high retention in the Life sector is due to the fact that the average sum insured per policy is quite low and can therefore be retained by the companies. It indicates the portion of the underwritten risks that has not been passed on to reinsurers. Table 22: RETENTION RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 98 98 100 100 100 100 98 92 98 100 99 100 99 98 Percentage (%) 2008 96 100 99 100 77 99 80 100 99 91 100 99 100 100 99 96 2009 96 100 100 98 100 100 60 99 91 100 99 94 100 99 100 100 99 97 2010 98 99 98 100 100 81 99 94 100 99 96 100 100 100 100 99 99 With the exception of Ghana Union Assurance life. 32 Annual Report 2010 . all the companies reinsured less than 10% of their business in both 2009 and 2010. there is the need to check for concentration and aggregation of risks. However.

It gives an indication of the quality of the investments made and held by the various companies. Provident Life.National Insurance Commission Investment Income as a Percentage of Total Investment Ratio Investment Income as a percentage of Total Investments measures the rate of return on investments. Annual Report 2010 33 . Quality Life. However. Golden Life and IGI Life showed low ratios and falling trends for the four-year period. Table 23: INVESTMENT INCOME AS A PERCENTAGE OF TOTAL INVESTMENT Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 6 7 16 1 6 2 2 15 6 5 12 7 9 7 9 Percentage (%) 2008 11 11 8 11 17 6 2 6 28 10 17 13 9 9 16 14 2009 16 26 17 16 26 17 17 9 10 10 21 12 20 22 18 11 21 14 2010 12 9 12 21 10 17 6 7 10 12 5 14 17 7 9 16 11 The industry average fell from 16% in 2009 to 12% in 2010 mainly due to the decline in interest rates. Unique Life and Ghana Union Assurance Life consistently showed good ratios from 2008 to 2010.

34 Annual Report 2010 .National Insurance Commission Investment Income as a Percentage of Premium Ratio Investment Income as a Percentage of Premium compares a company’s income from investment to its premium income. Golden Life and Phoenix Life are all below the industry average for the four-year period under review. Quality Life and Unique Life for the four-year period are all above the industry average. This ratio measures the extent of support from investment income. that life companies usually make underwriting losses and have to depend on income from investments to make profits. This is very relevant considering the fact. It indicates both the quality and adequacy of the investments. However. Table 24: INVESTMENT INCOME AS A PERCENTAGE OF PREMIUM RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 16 9 27 7 10 22 32 10 23 26 10 16 49 12 Percentage (%) 2008 18 16 11 24 41 11 3 59 27 16 29 26 15 16 51 16 2009 26 41 16 20 126 32 37 15 13 34 40 17 25 41 22 21 41 13 2010 16 9 17 22 15 21 12 6 7 27 8 16 34 11 15 21 9 The industry average dipped from 26% in 2009 to 16% in 2010. the ratios of Vanguard Life. The ratios of Metropolitan Life.

4 1.9 0.2 1.7 1.9 0. Annual Report 2010 35 . whereas the ratio of Donewell Life is due to operational losses.1 1.7 1.9 0. The ratio of Vanguard Life for the four-year trend under review is out of range.3 3.8 2.0 may mean that the company is not writing enough business to optimise its capital.0 8.0 indicates that the company may be overtrading whiles a ratio which is well below 2.7 2.8 1.4 1.6 0.3 2.7 2.4 of gross premium.5 0.2 1.3 The benchmark or industry best practice is however pegged at 2.1 7.8 4.9 1.0 1.5 2.8 0.1 1.6 2.1 1.7 4.3 3 Percentage (%) 2008 2.9 2009 2.6 2.0 1.5 2010 2. This ratio measures how much capital is available to support the premiums underwritten by a company.4 0.5 1.1 1.2 2. This means that a ratio significantly above 2.9 1.1 0.2 1.2 0.5 12.9 0.9 0.4 for 2010 means that GH¢1 of capital supports as much as GH¢2.6 2.0.1 0.2 1.9 -1.National Insurance Commission Gross Premium to Equity Ratio The Premium Equity ratios try to assess the capital adequacy of insurance companies.6 0.2 9.0 0.4 -1.1 2. Table 25: GROSS PREMIUM TO EQUITY RATIORATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 1.3 0.2 0. The ratios of Ghana Life. Ghana Union Assurance Life and Express Life are far below the industry average and the benchmark. The industry average ratio of 2.7 2.6 2.1 2.9 2.1 26.3 0.6 1.

8 2.9 1.National Insurance Commission Net Premium to Equity Ratio The Net Premium to Equity ratio does the same function as the gross premium to equity ratio.9 0.9 -1.1 1.5 0. Table 26: NET PREMIUM TO EQUITY RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 1.0 in 2010.1 1.8 1.2 0. The only difference is that the net Premium to equity ratio measures the relation of the Net Premium and not the Gross Premium of a company to its capital.1 2.6 2.8 0.9 0.4 12.3 1.3 2.6 1 1 1.4 0.1 7.2 0.3 2.6 2.5 0.3 2010 2 -1.5 0.9 2.2 2.6 4.4 1.6 1.8 4.0 2.5 2.8 2009 2.7 1.3 0.9 8.2 1.2 0. There does not appear to be much difference between the Gross and Net ratios because of the rather very high reinsurance retentions by the Life companies.9 Percentage (%) 2008 1.5 0.6 2.2 9.8 in 2009 to 2.2 1.7 0. 36 Annual Report 2010 .9 0.1 3 1.3 The industry average ratio dropped from 2.9 0.6 2.0 0.6 2.9 1.0 1.2 1.0 0.6 2.1 26.6 0.7 2.1 0.

National Insurance Commission Underwriting Profit as a Percentage of Gross Premiums Ratio This ratio measure underwriting profits as a percentage of gross premiums. Underwriting profits for this purpose is defined as net earned premiums minus commissions. This can be attributed mainly to the very high expense and combined ratios. Annual Report 2010 37 . Table 27: UNDERWRITING PROFIT AS A PERCENTAGE OF GROSS PREMIUMS RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited -16 0 -3 -159 5 -20 -201 -39 -2 -22 -10 -3 -12 -46 -21 Percentage (%) 2008 -16 -62 0. It is calculated by expressing underwriting profit as a percentage of gross premiums.4 -11 3 2 -35 -357 -6 -18 -28 -27 -5 -10 -24 -5 2009 -49 -409 -58 1 -574 -58 -3 10 -56 -264 -70 -22 -43 -36 -28 -15 -81 -13 2010 -21 -2 -6 -170 -35 -16 -21 -55 -237 -38 -30 -1 -22 -13 -10 -39 -9 All the Life companies made underwriting losses in 2010. It generally tries to ascertain the portion of the gross premiums that is available to contribute towards profits. claims and management expenses.

38 Annual Report 2010 . However. it gives an indication of the quality of the company’s assets. The ratios of Ghana Life. Donewell Life and Golden Life from 2008 to 2010 gives a clear indication of inadequate investments. the ratios of IGI Life. Table 28: NET PREMIUM TO EQUITY RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 72 84 76 68 73 79 83 76 75 74 73 72 96 72 Percentage (%) 2008 72 34 50 91 67 84 76 68 75 52 75 76 69 76 83 76 72 2009 62 23 31 90 63 55 18 73 41 42 73 72 73 75 59 89 62 71 2010 67 51 91 39 53 86 79 34 20 73 79 80 79 75 83 72 73 The industry average rose from 62% in 2009 to 67% in 2010.National Insurance Commission Investment to Total Assets Ratio Investment to total asset ratio measures the portion of a company’s asset that are in real investments and is therefore readily available to be converted into cash to settle liabilities. Express Life and Golden Life are too low for comfort. Generally. In a way. the life companies have better ratios than the non-life mainly because the life companies do not have the problem of outstanding debtors that deprive them of investible funds.

This can be attributed mainly to the very high expense and combined ratios. It is calculated as the net profit before tax divided by total assets.National Insurance Commission Return on Assets Ratio This ratio measures the return that a company makes on the assets it employs in its operations. Annual Report 2010 39 . Table 29: RETURN ON ASSETS RATIO Company 2007 Industry Average Capital Express Assurance (Ghana) Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited Ghana Life Insurance Company Limited Ghana Union Assurance Life Company Limited GLICO Life Insurance company Limited Golden Life Assurance Company Limited IGI Life Assurance (Ghana) Limited Metropolitan Life Insurance Company Limited Phoenix Life Assurance Company Limited Provident Life Assurance Company Limited Quality Life Assurance Company Limited SIC Life Company Limited StarLife Assurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited 7 14 60 1 10 -1 -10 -12 16 5 6 2 9 -5 Percentage (%) 2008 4 -6 16 4 3 5 15 19 -2 2 1 0 5 4 -16 7 2009 3 -59 -12 9 -58 1 6 12 16 -16 -15 5 -11 2 -2 3 -13 0 2010 2 -21 17 -55 5 15 -2 -21 -66 0 2 10 5 1 4 -10 0 All the Life companies made underwriting losses in 2010.

594 167.067 2010 GH¢ 78.216.799 167.977 (4.499 22.236 11.268 14.046 89.046 8.050.819.4160 70.060 187.098 23.057.054 45.726 23.465 11.042.288 1.361.291 25.440.980.582.750.695 21.696. 2009 2009 Notes Stated Capital Capital Surplus Income Surplus Contingency Reserve Shareholders’ Funds REPRESENTED BY: Fixed Assets Investment Properties Long Term Investments 2 1 19.945.157.799.255.563.373 40 Annual Report 2010 .904 382.883.044 (3.0270 703.373 19.913 89.737 725.041 221.190.National Insurance Commission Life Insurance Industry Aggregated Balance Sheet Table 30: LIFE INSURANCE INDUSTRY AGGREGATED BALANCE SHEET AS AT 31 DEC.612 916.742 Net Current Asset/Liabilities Actuarial Liabilities Other Long Term Liabilities 153.732.145.089 Current Assets Policy loans Other Debtors/Loans Amount due from reinsurers Taxation Short term investments Cash funds/resources 3 15.073 70.010.214 45.168 13..460.784.281.418.275 344.916.569.301.593.667 Net Assets/Liabilities 70.394.720 106.463.485 304.591 20.752 69.695 45.982) 4.00 243.067 205.696.414 387.645 166.196.644 19.000 251.470.332.882 108.988.992 229.376.871.961.669 GH¢ 56.626.563.893 158.387 Current Liabilities Provision for unearned Premiums Provision for claims Amount due to reinsurers Bank Overdraft Creditors Taxation Proposed Dividend 1.945 204.717 27.561) 3.794.391 84.222 136.120.887.

222 2010 GH¢ 10.869.1 43.0 0.216.582.890.000 753.798.968 45.032.275 344.394.709.569.799 252.196.895.904 382.485 304.LONG TERM INVESTMENTS Quoted Shares Unquoted shares Government Bonds Others Corporate Bonds 25.National Insurance Commission Table 31: NOTES TO THE LIFE INDUSTRY AGGREGATE BALANCE SHEET Note 1 .961.626.186 3.391 NOTE 3 .726 23.455.136.111 1.804.9 8.711.440.695 Table 29: MAKE UP OF ASSETS 2009 GH¢ Fixed Assets Investment Properties Long Term Investments Investments in Subsidiaries Policy Loans Other Debtors Amount Due from reinsurers Taxation Short term investments Cash funds/resources 19.Fixed Assets Land & Buildings Furniture.419 506.418 21.465 149.443 125.463.591 20.707 11.075.1 100 2010 GH¢ 21.460.663 2.042.216.973 204.656.463.599.032. Fittings & Equipment Motor Vehicles Work in Progress Intangibles Computer Equipment 2009 GH¢ 9.882 108.717 27.843 2.940 69.5 18.760 3.7 7.833.007 108.709.784.695 45.098 29.2 6.992 366.391 15.157.5 100 Annual Report 2010 41 .376.663 19.377 1.862 2.1 0.793 42.018 2. 19.505 74.5 0.364 % 6.961.582.894.335 315.2 42.9 0.985.476 % 7.SHORT TERM INVETSMENTS Treasury bills Fixed Deposits Call accounts Unit trusts Bonds 29.3 0.105 3.081.752 69.042.687 2.591 158.874.720 106.0 9.883.644 19.751 3.0 5.644 NOTE 2 .016.893 158.916 6.8 0.0 6.732.098 23.4 7.222 19.054 45.108.203.039 569.0 12.490 122.7 17.874 3.912.205.196.525 1.

very low claims ratios may mean that policyholders are not benefiting enough from the premiums they pay. Table 32: CLAIMS RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited 16 6 12 17 27 21 6 18 29 15 21 8 1 24 19 Percentage (%) 2008 17 50 12 22 18 29 19 5 11 1 23 13 12 14 12 23 23 11 2009 18 5 42 32 25 7 35 29 27 33 1 12 21 15 6 22 10 14 23 28 12 2010 17 7 9 5 14 27 8 26 21 21 37 8 18 11 14 8 19 17 29 21 24 12 42 Annual Report 2010 . However. The lower the ratio. the better the underwriting efficiency. measures underwriting efficiency.National Insurance Commission PERFORMACE INDICATORS NON-LIFE COMPANIES Claims Ratio The Claims ratio which is the percentage of claims incurred to Gross Premiums.

NEM and Intercontinental Wapic from 2009 to 2010 are marginally below the industry average.National Insurance Commission SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 18 22 16 12 17 13 15 10 22 15 14 13 20 10 17 16 The industry average ratio fell slightly from 18% in 2009 to 17% in 2010. However. the claims ratio of Equity. Annual Report 2010 43 . Provident. This is mainly due to the fact that they are all fairly new companies. Ghana Union. The ratios of Enterprise. Quality and Ghana Re were above the industry average for the four-year period under review.

National Insurance Commission Expense Ratio The Expense ratio measures management expenses as a percentage of Gross Premiums. 44 Annual Report 2010 . Donewell and Prime for the four-year period under review are significantly above the industry average. Table 33: EXPENSE RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 30 17 45 22 19 18 26 57 19 21 32 39 95 50 19 38 28 42 33 Percentage (%) 2008 34 12 51 21 13 18 15 22 128 169 18 22 30 28 42 57 23 125 40 25 45 28 2009 43 19 964 1096 66 24 48 19 17 41 74 41 58 15 21 103 56 33 59 53 50 44 47 36 57 32 2010 41 17 32 152 49 32 43 28 18 31 35 48 40 30 25 52 77 34 60 53 62 45 45 31 74 31 The industry average dropped from 43% in 2009 to 41% in 2010. The ratios of SIC. the better in terms of management efficiency. NSIA. The lower the ratio. Metropolitan. Star. Again. Ghana Union. However. the ratios of Enterprise. Unique and Quality consistently recorded significant increases in their expense ratios over the last three years. The ratio of Colina is significantly high because it is a new company. Provident. Activa and Ghana Reinsurance were below the industry average. Enterprise.

Prime and IGI for the four-year period under review are all above the industry average. Annual Report 2010 45 . Table 34: COMBINED RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 46 22 57 39 46 39 32 75 48 35 53 47 96 73 38 55 50 58 45 Percentage (%) 2008 51 62 63 43 31 47 34 27 139 170 41 35 42 42 54 80 46 135 58 39 60 38 2009 61 24 964 0 98 49 54 55 46 68 107 42 71 37 36 109 79 44 73 76 77 56 69 51 71 45 2010 62 24 41 157 63 58 51 54 39 52 72 56 58 41 39 60 96 51 89 74 86 57 65 41 91 47 The industry average moved from 46% in 2007 to 62% in 2010 in line with the movement in the expense ratio.National Insurance Commission Combined Ratio The ratio is calculated as Total Claims + Total Management Expenses divided by Gross Premium. It is combination of the claims and management ratios. Provident. the ratios of Enterprise and Ghana Union are well below the industry average for the four-year period under review. The ratios of SIC. Donewell. However. Unique.

National Insurance Commission

Return on Equity Ratio Return on Equity is the Net Profit after tax as a percentage of Shareholders’ funds (Equity). It measures the profitability of the companies; the higher the percentage, the more profitable the company. Table 35: RETURN ON EQUITY RATIO
Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 18 -3 19 16 28 33 30 0 9 10 40 13 -19 6 29 13 16 21 26 Percentage (%) 2008 21 36 4 13 -58 38 41 31 -7 -24 14 34 26 25 2 3 39 -34 13 31 21 15 2009 10 20 4 1 -30 5 25 18 36 24 -56 -0.4 -21 12 29 -11 -25 38 -22 3 18 7 10 20 15 17 2010 4 11 -1 -17 -2 -2 20 13 9 5 -119 1 9 9 14 -7 -1 22 -13 12 -33 7 7 36 -32 22

The industry average dipped from 21% in 2008 to 4% in 2010. Ten of the companies in 2010 recorded losses or negatives ROEs. This significantly reduced the industry average from 10% in 2009 to 4% in 2010. The ratio of IGI is out of range. However, Unique and Quality recorded significant losses in 2010.

46

Annual Report 2010

National Insurance Commission

Retention Ratio Retention ratio is a risk management ratio. This ratio measures the percentage of Net Premiums to Gross Premiums. It indicates the portion of the underwritten risks that have not been passed on to reinsurers.
Table 36: RETENTION RATIO
Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 64 10 76 46 93 41 84 73 78 42 64 59 77 79 76 68 69 78 48 Percentage (%) 2008 62 9 76 44 77 91 38 70 73 22 71 49 64 56 78 77 79 85 74 55 75 44 2009 72 19 100 100 92 54 83 92 46 93 85 88 90 71 39 99 66 65 67 78 69 93 72 74 73 56 2010 71 23 52 87 77 58 85 85 41 66 81 96 78 70 40 90 87 80 69 73 69 82 74 69 74 66

The ratio declined slightly from 72% in 2009 to 71% in 2010. Enterprise, Ghana Union, Vanguard, Metropolitan and Activa for the four-year period under review have been doing a lot of reinsurance. However, a significant number of companies reinsured less than 20% of their underwritten risks in 2009 and 2010.

Annual Report 2010

47

National Insurance Commission

Investment Income as a percentage of Total Investments Ratio Investment Income as a percentage of Total Investments measures the rate of return on investments. It gives an indication of the quality of the investments made and held by the various companies. The industry average fell from 14% in 2009 to 12% in 2010 due mainly to falling interest rates.
Table 37. INVESTMENT AS A PERCENTAGE OF TOTAL INVESTMENTS RATIO
Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 10 6 10 9 9 10 2 14 6 9 7 31 5 14 4 5 7 27 Percentage (%) 2008 9 0 5 6 13 10 8 12 7 8 11 13 10 10 22 6 14 11 5 9 7 12 2009 14 3 21 18 0 7 20 14 10 21 10 25 10 21 23 14 15 27 7 19 16 5 12 13 12 2010 12 5 16 18 23 3 14 13 7 6 1 10 33 15 14 13 12 11 13 5 24 15 3 9 9 10

48

Annual Report 2010

This is very relevant considering the fact that. Unique.National Insurance Commission Investment Income as a percentage of Gross Premiums Investment income as a percentage of Premiums tries to compare a company’s income from investment to its premium income. It indicates both the quality and adequacy of the investments. The ratios of Colina are out of range. Table 38: RETENTION RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 6 4 3 9 19 5 1 11 3 8 4 19 5 7 3 5 4 11 Percentage (%) 2008 6 0 1 6 16 10 9 5 10 4 9 7 8 4 5 5 7 8 4 8 4 4 2009 9 0. This ratio measures the extent of support from investment income. Enterprise. Donewell and Phoenix were lower than the industry average for the four-year period under review. However. the ratios of SIC. most companies make underwriting losses and have to depend on income from investments to make profit. Provident. Annual Report 2010 49 .2 1495 3166 0.2 5 6 21 13 13 7 6 2 9 9 40 12 7 4 4 10 4 3 9 7 4 2010 9 1 8 70 7 4 4 22 13 8 1 6 1 6 6 7 14 5 2 3 6 3 3 7 4 4 The industry average ratio remained the same during 2009 and 2010.

9 6.9 2. Metropolitan.2 The industry average dropped slightly from 1.8 1 1.4 0.2 2 3 2009 1.1 0.9 2 1.5 1 0. The ratios measure how much capital is available to support the premiums underwritten by a company.5 2.9 0.7 1 2 2.5 0.8 1.2 2.3 0.3 1.7 3 2010 1.5 0.8 2.1 1.3 0.9 2. Table 39.1 0.3 2. The benchmark or industry best practice is however pegged at 2.8 2.8 1.5 2.5 0. 50 Annual Report 2010 .4 0.5 1.5 1. This means that a ratio significantly above 2 indicates that the company may be overtrading whiles a ratio which is well below 2 means that the company is not utilising its capital. The ratios of five companies including the reinsurance companies for the four-year period under review were less than the pegged benchmark.9 2.2 1.8 2.8 2.5 0.8 1.3 2.7 0.1 2.9 1.4 2.2 2.National Insurance Commission Gross Premium to Equity Ratio The Premium Equity ratios try to assess the capital adequacy of insurance companies.1 0.5 0 0 2.6 1. Vanguard.3 5 1.7 2.3 Percentage (%) 2008 1.4 2.6 0.4 1.9 in 2009 to 1.3 2.1 2.9 3. GROSS PREMIUM TO EQUITY RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 1.9 2. Star and Quality for the four-year period under review are significantly higher than both the industry average and the benchmark.7 2.3 0.7 0. the ratios of Activa.3 3.6 2.0 1.8 4.7 1. However.1 0.8 0.8 5.6 0.4 0.3 2.1 0.7 2.2 4.0 2.1 3.9 2.1 0.8 in 2010.6 2.1 0.9 3 1.

2 0.2 1.3 1.7 0.2 1.7 0.1 0.3 0.4 0.0 0.2 0 0 1.6 1.2 1.7 0. Table 40.8 3 0.3 0.3 2009 1.6 1.2 1.7 2010 1.0 0.4 0.0 2.4 0.8 0.1 1.9 1.4 0.4 1.2 2.1 Percentage (%) 2008 1.3 3.8 0.8 0.8 1.9 0.9 0.7 1.6 1.6 2.8 2.2 0. The industry average did not change during both 2009 and 2010.7 1. NET PREMIUM TO EQUITY RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 1.5 1.3 1.4 1.7 2.7 0.7 1 1.8 0.2 1.3 0.7 1.8 0.9 1.9 0.4 1.7 1.0 0.9 1.8 1.7 1.5 0.8 2.4 1.4 0.4 0.2 0.7 1.National Insurance Commission Net Premium to Equity Ratio The Net Premium to Equity ratio does the same function as the gross premium to equity ratio.2 1 0.7 1.7 0.1 Annual Report 2010 51 .4 1.3 1.6 1 0.2 1.2 0.5 1.7 0.9 1.5 2.8 0.4 0.4 1.5 0. The only difference is that the Net Premium to Equity ratio measures the relation of the net premium and not the gross premium of a company to its capital.1 1.

1 0.6 0.4 0. A capital to liabilities ratio of 1.4 0.3 1.9 0.3 1.7 1.4 1.0 for an example means for every cedi of equity.7 1.5 1.5 0.2 38.3 0.5 2.2 1.7 0.8 3 0.9 0.8 1.9 0.6 1 0.4 0.2 0.5 1.9 1.6 1.9 3.6 0.3 2009 1.7 1.0 of liabilities.8 8.7 1.6 2010 1.8 0.5 0.6 1.9 1.4 0.7 0.1 0.2 1.0 0.1 0.6 1.2 1.7 0.2 0.8 1.3 1.2 0.2 Percentage (%) 2008 1.4 1. CAPITAL TO LIABILITIES RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 1.1 0.3 0.4 2.9 0.5 0.9 1 1.5 1. Table 41.5 0. the company has GH¢1.5 0.4 1.8 0.9 6.8 1.6 52 Annual Report 2010 .6 2 1.6 0.1 1.7 0.2 1.5 1.3 1.9 0.2 0.0 0.9 0.5 1.6 0.3 0.4 0.1 1.1 0.7 2.8 0.National Insurance Commission Capital to Liabilities Ratio The Capital to Total Liabilities ratio compares the total liabilities of the company to its capital.6 0.8 0.4 0.

Prime. This makes the management of credit risk one of the major issues for Ghanaian insurance companies. the objective is to find out how long it takes management to collect premium debts and put such funds into use. Donewell. the ratios of Unique.National Insurance Commission Outstanding Premiums as a Percentage of Gross Premiums Outstanding Premiums as a percentage of Gross Premiums compares outstanding premiums as at the end of the year to the total premiums written during the year. The issue of Outstanding Premiums is adversely affecting the profitability and solvency of insurance companies. Annual Report 2010 53 . Table 42. Specifically. However. This efficiency ratio tries to assess how well management makes use of the company’s assets. OUTSTANDING PREMIUMS AS A PERCENTAGE OF GROSS PREMIUMS RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 34 12 55 18 72 23 23 32 75 20 19 48 44 11 24 37 32 50 25 Percentage (%) 2008 43 27 54 23 53 74 23 54 64 43 70 23 32 47 57 14 30 48 57 32 58 24 2009 43 23 59 59 17 31 77 31 50 80 58 45 75 19 33 29 66 47 23 41 36 59 33 61 30 2010 43 13 9 69 49 5 41 60 22 45 67 23 64 74 17 27 26 65 60 27 49 45 59 38 60 33 The industry average has peaked at 43% for the past three years. Phoenix. and the two reinsurance companies are all above the already too high industry average for the four-year period under review. The ratios of eight companies improved during the four-year period under review. It should be noted that the premium debtors used to calculate these ratios are already net of significant provisions for bad and doubtful debt.

Donewell. the better. Since trade debtors are not regarded as good quality assets especially where they are quite old. OUTSTANDING PREMIUMS AS A PERCENTAGE OF TOTAL ASSETS RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 25 14 30 14 34 19 24 51 42 24 16 38 14 4 22 21 19 35 26 Percentage (%) 2008 29 34 43 13 20 34 18 50 42 10 41 21 24 46 42 6 25 14 28 22 43 31 2009 29 28 1 32 12 30 30 17 36 25 35 34 40 24 10 22 51 45 12 29 30 28 22 44 35 2010 27 13 9 12 35 3 35 19 8 23 34 20 54 37 21 20 9 51 30 17 40 38 28 28 47 37 The industry average dropped from 29% in 2009 to 27% in 2010. It is an indication of asset quality.National Insurance Commission Outstanding Premiums as a Percentage of Total Assets This ratio measures the outstanding premiums as a percentage of the company’s total assets. Table 43. Phoenix and Mainstream Re for the four-year period under review were exceptionally higher than the industry average. the lower the ratio. The ratios of Unique. 54 Annual Report 2010 .

National Insurance Commission Return on Assets Return on asset is defined as the net profit before tax as a percentage of total assets. the ratios of Ghana Union and Glico General were significantly on the high side for the four-year period under review.2 -10 8 17 -10 -4 21 -10 3 9 4 6 7 10 9 2010 2 4 -3 -7 5 0 10 12 5 5 -22 0 4 7 9 -5 0 12 -8 14 -8 6 6 16 -10 11 Even though the industry average dipped from 6% in 2009 to 2% in 2010. The ratios of IGI is out of range. Table 44. It is an efficiency ratio that measures how efficiently the company makes use of the assets under its control to generate return for the policyholders and shareholders. RETURN ON ASSETS RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 6 1 -1 7 7 11 0 5 4 23 13 -15 4 10 7 5 7 12 Percentage (%) 2008 9 11 13 8 -25 11 7 -21 6 15 10 8 1 2 14 -26 7 9 8 6 2009 6 4 6 1 -8 4 12 11 14 11 -22 -0. Annual Report 2010 55 .

Ghana Union. which rob the companies of investible funds. NSIA and Metropolitan look quite good. 56 Annual Report 2010 . However. Table 45. Mainstream. on the other hand are too low. This worrying situation is due to the very high premium debtors. INVESTMENT TO TOTAL ASSETS RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 52 47 17 72 59 74 57 53 48 57 74 52 25 42 48 54 58 45 56 Percentage (%) 2008 45 45 21 60 49 41 77 43 15 53 66 68 66 19 39 40 46 42 58 45 51 2009 39 11 69 86 28 53 30 57 70 46 39 36 11 52 54 52 66 36 13 34 35 19 34 51 39 42 2010 40 14 51 66 22 69 25 52 70 69 39 54 3 19 57 38 41 39 9 45 20 17 39 57 32 44 The industry average rose slightly from 39% in 2009 to 40% in 2010. The ratios of Enterprise. the ratios of Prime. Activa. International Energy.. Star.National Insurance Commission Investment to Total Assets Ratio This is an asset adequacy/quality ratio. Donewell. It is intended to ascertain the percentage of the company’s total assets that are in the form of real investments that can be easily converted into cash to take care of policyholders and other liabilities. Quality and Regency Alliance for the year under review.

3 -7 7 7 2 -1 -4 -7 0. It is calculated by dividing the underwriting profit by the gross premiums. Annual Report 2010 57 . It generally tries to ascertain the portion of the gross premiums that is available to contribute towards profits. The ratio of Colina is out of range and therefore was excluded to avoid distortions. The falling trends of the ratios are the result of high management expenses and undercutting.2 6 0. Underwriting profits for this purpose is defined as net earned premium minus commissions.4 The industry average dropped gradually from positive 4 in 2007 to negative 2 in 2010. UNDERWITING PROFITS AS A PERCENTAGE OF GROSS PREMUIMS RATIO Company 2007 Industry Average Activa International Insurance Company Limited Allianz Insurance Company Of Ghana Limited Colina Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Limited Ghana Reinsurance Company Limited Ghana Union Assurance Company Limited Glico General Insurance Company Limited IGI Insurance Company (Ghana) Limited Intercontinental Wapic Insurance Ghana Limited International Energy Insurance Company Limited Mainstream Reinsurance Company Limited Metropolitan Insurance Company Limited NEM Insurance (Ghana) Limited NSIA Ghana Insurance Company Limited Phoenix Insurance Company Limited Prime Insurance Company Limited Provident Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Limited SIC Insurance Company Limited Star Assurance Company Limited Unique Insurance Company Limited Vanguard Assurance Company Limited 4 1 2 5 -58 6 12 -5 -10 2 5 8 9 -2 8 11 5 10 2 Percentage (%) 2008 2 3 -1 0 -4 -82 3 6 -41 -4 -97 7 10 6 4 -5 13 -133 14 9 11 1 2009 (6) -1 -914 -1038 -16 -7 6 -9 2 0. Table 46.4 -13 -14 10 -19 2 -15 4 8 12 -19 4. claims and management expenses.3 -27 -8.2 -31 3 3 -72 -17 19 -14 -3 2 -1 4 2 1 3 2010 (2) 2 -12 -110 -0.National Insurance Commission Underwriting profits as a Percentage of Gross Premiums This ratio measures underwriting profits as a percentage of Gross Premiums.

247.161.599.277.976.510.00 140.027.955.285.National Insurance Commission Non-Life Insurance Industry Aggregated Balance Sheet Table 47: NON-LIFE INSURANCE INDUSTRY AGGREGATED BALANCE SHEET AS AT 31 DEC.56 2010 GH¢ 113.922.00 62.662.101.362.696.064.00 38.050.987.486.138.898.00 244.294.381.363.028.069.555.00 4.00 312.00 59.00 226.124.534.603.00 33.367.633.222.125.963.879.416.56 67.00 136.019.293.825.014.203.477.34 22.00 5.19 330.00 34.00 28.00 54.530.92 37.00 99.00 28.323.929.073.890.939.308.00 126.511.445.617.56 98.00 1.020.372.00 GH¢ 71.502.367.410.00 220.022.058.00 Net Assets/Liabilities 220.303.027.190.942.613.303.00 1.641.00 92.00 121.559.00 57.00 3.715.00 614.00 256.075.551.101.87 20.036.478. 2010 2009 Notes Stated Capital Capital Surplus Income Surplus Contingency Reserve Deposit for Shares Shareholders’ Funds REPRESENTED BY: Fixed Assets Investment Properties Long Term Investments Investments in Subsidiaries 2 1 54.847.569.181.019.00 28.94 61..00 13.227.00 312.027.32 17.00 939.569.382.808.498.00 355.487.660.78 Net Current Asset/Liabilities Other Long Term Liabilities 86.00 30.755.998.878.203.00 13.856.398.00 14.834.812.094.890.962.161.677.558.227.963.043.118.528.667.00 19.568.326.329.00 1.00 74.399.260.24 5.00 13.62 31.395.641.00 125.02 Current Liabilities Provision for unearned Premiums Provision for claims Amount due to reinsurers Bank Overdraft Creditors Taxation Proposed Dividend 91.437.377.856.92 13.00 58 Annual Report 2010 .343.32 Current Assets Outstanding Premiums Other Debtors/Loans Amount due from reinsurers Taxation Short term investments Cash funds/resources 3 129.00 41.00 22.

333.00 5.00 136.425.00 62.425.93 5.156.326.922.00 1.3 21.694.9 2.910.677.303.947.236.294.6 11.00 30.773.377.161.8 4.00 1.7 4.022.00 126.34 % 11.511.125.473.5 3.395.558.00 4.247.00 1.847.058.0 Annual Report 2010 59 .89 54.303.00 1.00 3.014.416.00 Table 49: MAKE UP OF ASSETS 2009 GH¢ Fixed Assets Investment Properties Long Term Investments Investments in Subsidiaries Outstanding Premiums Other Debtors Amount Due from reinsurers Taxation Short term investments Cash funds/resources 54.00 1.00 121.879.651.00 136.00 14.0 27.033.043.492.00 54.00 2010 GH¢ 43.976.5 5.049.554.696.00 125.161.020.SHORT TERM INVETSMENTS Treasury bills Fixed Deposits Call accounts Unit trusts Bonds 48.599.3 0.00 780.326.308.677.641.558.173.737.613.251.808.798.00 74.00 54.00 383.00 28.487.510.87 20.093.62 2.457.318.183.9 0.069.840.576.760.247.50 3.00 17.00 2.Fixed Assets Land & Buildings Furniture.528.998.32 NOTE 2 .7 5.00 581.00 77.00 1.437.00 NOTE 3 .203.00 121.603.363.62 1.429.8 6.976.236.00 1.00 1.860.6 100 2010 GH¢ 62.138. Fittings & Equipment Motor Vehicles Work in Progress Intangibles Computer Equipment 2009 GH¢ 40.34 22.633.035.075.00 33.482.188.486.103.528.00 28.666.00 13.00 5.32 17.608.766.6 4.621.888.00 126.471.203.677.199.LONG TERM INVESTMENTS Quoted Shares Unquoted shares Government Bonds Others Corporate Bonds 40.3 23.19 470.326.020.62 31.603.139.263.818.2 26.294.270.739.911.633.00 129.00 9.559.203.00 % 10.National Insurance Commission Table 48: NOTES TO THE NON-LIFE INDUSTRY AGGREGATE BALANCE SHEET Note 1 .6 5.590.00 56.00 1.00 98.363.0 20.404.728.7 3.00 3.510.2 100.939.555.440.058.

List of Registered Insurance Companies 4. Corporate Information 2. List of Registered Broking Companies 60 Annual Report 2010 .National Insurance Commission APPENDICES 1. List of Registered Reinsurance Companies 5. 2010 Financial Reports 3.

Box CT 3456 Cantonments. Michael Kofi Andoh Mr. Albert Gemegah Mr. Emma Araba Ocran Mr. 67 Independence Avenue P. Accra Annual Report 2010 61 . K. Deputy Commissioner of Insurance Legal Director Head. Isaac Buabeng Commissioner of Insurance Ag. Davor Mrs. Samuel Amankwah Mr. Marketing. Simon N. Joseph Bentor Mr. Martin Dornor Abayateye Auditors: AADS Consult (Chartered Accountants) Republic House 5th Floor Accra Bankers: SG-SSB Bank Limited Merchant Bank (Ghana) Limited Cal Bank Limited Ghana Commercial Bank HFC Bank (Ghana) Limited Registered Office & Principal Place of Business Insurance Place No. Supervision Head. Research & External Relations Internal Auditor Chairman Commissioner of Insurance Mr. Sarah Fafa Kpodo Dr.National Insurance Commission CORPOR ATE INFORMATION Board of Directors: Other Directors Secretary: MAnagement Team Mr. Nyamikeh Kyiamah Mr. Justin Amenuvor Ms. Finance & Administration Head. Nyamikeh Kyiamah Mr. Emmanuel Baba Mahama Mrs Emma Araba Ocran Mrs. O. Frederick Quayenortey Mrs.

The Directors are responsible for ensuring that the Commission keeps proper accounting records that disclose with reasonable accuracy at any time the financial position of the Commission.160. which give a true and fair view of the state of affairs of the Commission and of the Profit or Loss and Cash flow for that period. Principal Activities The principal activity of the Commission is to regulate and supervise the activities of the Insurance Companies in Ghana. made judgments and estimates that are reasonable and prudent and followed Ghana Accounting Standards. the Directors have selected suitable accounting policies and then applied them consistently.873 BY ORDER OF THE BOARD ………………………………………. The Directors are also responsible for safeguarding the assets of the Commission and taking reasonable steps for the prevention and detection of fraud and other irregularities. DIRECTORS ………………………………………. Financial Results (Highlights) The Financial results of the Commission are as summarized below: 2010 (GH¢) Excess of Income over Expenditure Total Assets Accumulated Fund 512.439 3. 2011 62 Annual Report 2010 .647. In preparing those financial statements. Dated: April.470 3. 2010.National Insurance Commission REPORT OF THE DIRECTORS The Directors submit their report together with the audited financial statements of National Insurance Commission for the year ended 31st December.555 2.312 2009 (GH¢) 455. Statement of Directors responsibilities The Directors are responsible for the preparation of the financial statements for each financial year.836.801 3.514.

on these Financial Statements and to report our opinion to you. In forming our opinion. on test bases. Our responsibility as auditors is to form an independent opinion based on the audit. It also includes an assessment of the significant estimates and judgments made by the directors in the preparation of the Financial Statements. of evidence relevant to the amounts and disclosures in Financial Statements.National Insurance Commission FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER. consistently applied and adequately disclosed. whether caused by fraud or other irregularity or error. and of whether the accounting policies are appropriate to the Commission’s circumstances. 2010 as set out on pages 65 to 76 which have been prepared under the historical cost convention and on the basis of the accounting policies set out on pages 68 and 69 Respective Responsibilities of Directors and Auditors The responsibility for the preparation of the Financial Statements of the Commission rest with the Directors. we also evaluated the overall adequacy of the presentation of information in the Financial Statements. An audit includes examination. 2010 INDEPENDENT AUDITORS REPORT TO MEMBERS OF NATIONAL INSURANCE COMMISSION We have examined the Financial Statements of the National Insurance Commission for the year ended 31st December. Annual Report 2010 63 . Basis of Opinion We conducted our audit in accordance with International Standards on Auditing and Ghana Standards on Auditing. We planned and performed our audit so as to obtain information and explanations which we considered necessary in order to provide us with sufficient evidence to give reasonable assurance that the Financial Statements are free from material misstatement.

National Insurance Commission Opinion In our opinion. and comply with the Insurance Act. which are in agreement therewith present in all material respect. 2006 (Act 724) and Ghana National Auditing Standards. 2011 64 Annual Report 2010 . 2010 and of its result of operations and cash flows for the year then ended on the date. a true and fair view of the financial position of the Commission as at 31st December. Signature:……………………………………………………………………………………… Partner Signing: STEPHEN ARMAH Membership number: (101073) Name of Firm: AADS Consult (Chartered Accountants) Date: 22nd July. proper books of account have been kept by the Commission and the Financial Statements audited by us.

312 2.439 3.517.084.192. Annual Report 2010 65 .801 2.873 The accounting policies and notes on pages 68 to 76 form an integral part of these financial statements.647.072 455.146) 512.596.585 (4.647.439 2009 GH¢ 3.National Insurance Commission INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31ST DECEMBER.873 512. 2010 2010 Notes INCOME EXPENDITURE Excess of Income over Expenditure 1 2 GH¢ 4.151 (3.801 ACCUMULATED FUND Balance as at 1 January Excess of Income over Expenditure for year Balance as at 31 December 2.973.350) 455.160.

000 943.014.086 40.873 427.514.893.086 858.555 The Financial Statements on pages 65 to 76 were approved by the Board of Directors on April.000 3. 66 Annual Report 2010 .429 Total Assets 3.371 2.574.555 Current Liabilities Accounts Payable and Accruals 7 262. The accounting policies and notes on pages 68 to 76 form an integral part of these financial statements.126 GH¢ 2009 GH¢ Current Assets Short Term Investments Accounts Receivable Bank and Cash Balances 5 6 12 1.836.872 2.126 40.172.182.188 Accumulated Fund and Deferred Grant Accumulated Fund Deferred Grant Deferred Rent (GIC) 8b 9 3.386 1.188 415.195 1. Accumulated Fund & Grant 3.000 3. 2011 and were signed on its behalf by: ……………………………………….384 975.160. Plant & Equipment Equity Shares in GIC 3 4 903.494 24. 2010 2010 Notes Non-Current Assets Property.National Insurance Commission BALANCE SHEET AS AT 31ST DECEMBER.836.367 Total Liabilities.000 898.312 402.356 626. DIRECTORS ……………………………………….317 538.514.616.099 262.099.470 3.647.059 12.687 2.470 3.099 415.

024 159.000 (206.264 GH¢ 2009 GH¢ Cash flow from Investing Activities Purchase of Property.296 6.872 242.968 274.252 (31.635 267.815) 538.611 12.988 626.675 (263.988 Movement in Cash and Cash Equivalents At Start of the Year Increase/(Decrease) in Cash and Cash Equivalents At end of the Year (87.809) 181. 2010 2010 Notes Operating Activities Cash Generated from Operations Interest Received Net Cash Generated from Operating Activities 10 1 147.326) 34.276) Net increase/(decrease) in Cash and Cash Equivalents (87.223) 6.687 383. Annual Report 2010 67 .451) (38.National Insurance Commission CASHFLOW STATEMENT FOR THE YEAR ENDED 31ST DECEMBER.815) 242.877) 236. Plant and Equipment Proceed from the Sale of Assets Purchase of Investment Investment Income Received Net Cash used Investing Activities 3 11 5 1 (228.581 (247.687 626.699 The accounting policies and notes on pages 68 to 96 form an integral part of these Financial Statements.

Investments are quoted at cost. The resulting profit or loss on disposal is credited or charged to the Income and Expenditure Account. fixed deposits and non-negotiable certificates of deposits. Furniture and Fittings Motor Vehicles Office Equipment Office Building Residential Accommodation Computers 10% 20% 20% 3% 20% 33. Property and Equipment and Depreciation All properties and equipments are recorded at cost less depreciation. Cash and Cash Equivalents For the purposes of the Cash flow Statement.33% Disposals of properties and equipments are accounted for by comparing the net book value with the proceeds. Investments Investment securities are in the form of treasury bills. Accounts Receivable Accounts receivable are stated at a net of bad and doubtful debts and at cost. residual values and useful life are re-assessed at the end of each financial year. cash and cash equivalents comprise cash on hand and short-term highly liquid investments.National Insurance Commission ACCOUNTING POLICIES Basis of Accounting The financial statements have been prepared under the historical cost convention and accrual basis and comply with Ghana Accounting Standards. Equipment less than GH¢ 500 are written off in the year of purchase. Depreciation is calculated to write off the cost of each asset on a straight-line basis at the following annual rates. Depreciation method. 68 Annual Report 2010 .

Stocks Stocks are ordered just for the year and are charged to the Income and Expenditure Account in the year of purchase. Annual Report 2010 69 .National Insurance Commission TransACtionS IN Foreign Currencies Transactions in foreign currencies during the year are converted into cedis at rates prevailing at the time of transaction. Monetary assets and liabilities denominated in foreign currencies at the balance sheet date are translated into cedis at the exchange rate ruling on that date. Gains and losses resulting from the translation are dealt with in the Income and Expenditure Account in the year in which they arise.

430 5.790 85 15.596.969 600.249 119.873 148.973.581 12.585 2009 GH¢ 2.694 49.612 8.435 153.824 204.National Insurance Commission NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER.090 236. 2010 1.703 18.645 25.188 308.024 759.121 1.435 139.IITC Mega Risk Income Other Income 8a 8b GH¢ 2.107 37.596.707 70 Annual Report 2010 .498 3.581 119.691 134.804 87.402 25.151 Other Income include of the following: 2010 GH¢ Year Book Sales Interest on Loans Insurance Claims Others 9.777 181.011 56.585 This is made up as follows: 2010 Notes Levies on Insurers Levies on Brokers Licensing/Renewal Income Investment Income Interest on Current Account Motor Contribution Grant Income Deferred Grant Income Rent Income/Fees .252 6. Income: GH¢ 4.880 87.543 2009 GH¢ 4.354.546 25.689 4.757.

National Insurance Commission

2. Expenditure: GH¢ 4,084,146 Expenditure includes:
2010 Notes Staff Cost Auditors’ Remuneration Directors’ Emoluments Depreciation Sticker Cost Loss on sale of Assets 3 GH¢ 2,317,049 7,705 465,921 174,709 124,200 2,552 2009 GH¢ 1,462,252 6,700 914,690 139,008 80,040 9,482

The average number of persons employed by the Commission during the year was 64 (2009:60)

Annual Report 2010

71

3.
Office Building Total GH¢ GH¢ GH¢ GH¢ GH¢ GH¢ GH¢ Furniture and Fittings Motor Vehicles Office Equipment Computers & Accessories Residential Furnishing

Property, Plant and Equipment

National Insurance Commission

72
823,450 180,066 296,817 140,774 74,210 75,446 30,610 (15,425) 90,631 29,537 103,747 2,830 (14,627) 128,977 147,189 (42,759) 401,247 11,270 (15,410) 175,926 6,787 830,237 1,590,763 228,223 (88,221) 1,730,765 180,336 102,266 238,422 103,766 14,199 (14,627) 103,338 72,605 (34,207) 276,820 17,080 (15,410) 103,936 30,437 210,773 58,415 22,261 80,676 49,434 18,127 (15,425) 52,136 732,639 174,709 (79,669) 827,679 619,464 71,990 124,427 58,395 77,801 643,113 25,639 37,007 23,071 15,797 38,495 26,013 903,086 858,126 3,426 172,500 830,237 401,247 388 128,589 13,329 90,418 90,631 17,143 1,713,622 15,410 (15,410) 42,759 (34,207) 8,552 6,000) (2,552) 14,627 (14,627) 15,425 (15,425) 88,221 (79,669) 8,552 (6,000) (2,552)

Cost

At 1st January 2010 (A)

Annual Report 2010

Additions

Disposals

At 31st December 2010

Depreciation

At 1st January 2010

Charge for the Year

Disposals

Net Book Value

At 31st December 2010

At 31st December 2009

Cost –Fully Depreciated Assets (B)

DEPRECIABLE VALUE (A-B)

Disposal of Property & Equipment

Cost

Accumulated Depreciation

Net Book Value

Proceeds on Sales

Profit/(Loss) on Disposal

National Insurance Commission

4.

Equity Shares In Ghana Insurance College
2010 GH¢ 2009 GH¢ 40,000

Equity Shares in GIC

40,000

5.

Short Term Investments: GH¢ 1,182,195

This is made up as follows:
2010 GH¢ Treasury Bills Fixed Deposits Non-negotiable Certificate of Deposit 414,375 679,169 88,651 1,182,195 Purchase of Investments (Additions during the year) 206,809 2009 GH¢ 343,152 555,886 76,348 975,386 263,877

Treasury Bills are debt securities issued by the Bank of Ghana for a term of three months, six months or a year and are classified as available for sale investments. Bills are carried at cost. 6. Account Receivable and Prepayment: GH¢ 1,172,317

This is made up as follows:
2010 GH¢ Levies Due from Insurers and Brokers Mega Risk Receivable IITC Debtor Staff Advances Sundry Debtors Accrued Investments Income Withholding Tax Credit Receivable from Provident Fund Prepaid Insurance Expense VAT Penalties Recievables Others 517,414 71,193 5,238 332,566 27,641 34,543 6,657 26,796 34,929 105,500 9,840 1,172,317 2009 GH¢ 414,772 1,930 348,163 52,551 59,772 6,471 1,898 14,493 38,286 61,500 14,520 1,014,356

Annual Report 2010

73

Deferred Grant Income: GH¢402.900 18.059 2009 GH¢ 452.546 This is made up of EMCB/FINSSP Grant and Deferred Grant Income 2010 GH¢ 2009 GH¢ EMCB/FINSSP Grants represent grant received from Government of Ghana through the Ministry of Finance & Economic Planning 87. Grant Income : GH¢ 87.National Insurance Commission 7. a.145 b. Accounts Payable and Accruals: GH¢262.049 13. 9.000 (12.099 This is made up as follows: 2010 Notes Accrued Expenses Accrued Directors Remuneration West African Insurance Institute Provident Fund & Other Payable Compensation Fund Current portion of Long-term Loan 13 GH¢ 199.059 2010 GH¢ Balance at 1st January Transfer to Income and Expenditure Account Balance at 31st December 427.929 (25.546 80.000 2009 GH¢ 36.575 415.000 74 Annual Report 2010 .544 11. Deferred Rent Income (GIC): GH¢ 12.000 (12.000 2010 GH¢ Balance at 1st January Transfer to Income and Expenditure Account Balance at 31 December 24.723 2.099 2009 GH¢ 78.557 2.308 20.000) 24.494 (25.216 2. which is being written-off over its depreciable life.976 297.188 8.435) 427.575 262.435) 402.494 Deferred Income represents grants from the Non-Banking Financial Institutions for the construction and furnishing of the Insurance Industry Training Centre (IITC) building.000) 12.864 29.

National Insurance Commission 10.801 (25.260 (105.969) (236. Cash and Cash Equivalent Changes during the year 2010 GH¢ 1.089) 147.669) 8.552) 2009 GH¢ 149.296 (157.435) (12.079) 3 2.949 624.687 Cash Bank (784) (87.552 6.252) 8b 9 3 GH¢ 512.872 2009 GH¢ 1.031) (87.815) Annual Report 2010 75 .552 (12.483) 12. Reconciliation of excess of Income over expenditure to cash flow from operating activities 2010 Notes Excess of Income over Expenditure Amortisation of Capital Grant Amortisation of Rent Income Depreciation (Gain)/Loss on Disposal of Property and Equipment Interest Income Investment Income Increase/Decrease in Accounts Receivable and Prepayment Increase / (decrease) in Accounts Payable and Accruals Cash Generated from Operating Activities (153.960) (394.165 537.221 (79.707 538.008 11.709 2009 GH¢ 455.435) (12.439 (25.611 337.483 (6.024) (181.158 34.739 267.000) 174.000) 139.675 (9.738 626.581) 9.000 (2. Gain / (Loss) on Disposal of Fixed Assets This is made up as follows: 2010 GH¢ Cost Accumulated Depreciation Net Book Value Proceeds Gain/(Loss) on Disposal 88.102) 44.

198 27. the stock of unused stickers printed during the year was 6. Unused Stickers At the end of the year.499 2.976 Audit Fees Medical Expenses Telephone Water and Electricity Withholding Tax Payable T & T. Repairs and Others PAYE and SSF 7.700 2.GH¢ 36.017).637 26. Capital Commitments There were no Capital Commitments as at 31st December 2010 (2009 : Nil) 16.297 booklets.311 92.544 This is made up as follows: 2010 GH¢ 2009 GH¢ 6. Cost . Accrued Expenses: GH¢ 199.744 199. Contingent Liabilities There were no contingent liabilities at 31st December.705 2.GH¢40.541 booklets .653 18.648 78.481 4.735 8. 2010 (2009: Nil) 76 Annual Report 2010 .259 60.407 5.Cost . 15.544 14.National Insurance Commission 13.543 12.931 (2009: 5.

O. Asylum Down. 772778 Fax: 760484 e-mail: donewellinsurance. Box 3114. 763118. adjacent to Holy Location NON-LIFE INSUR ANCE COMPANIES Company NSIA Ghana Insurance Company Limited Donewell Insurance Company Limited Enterprise Insurance Company Limited Equity Assurance Company Limited National Insurance Commission Annual Report 2010 Ghana Union Assurance Company Limited 77 . Osu RE Spirit Cathedral Soboque Road.com. Accra Tel: 666856-8/666847-9 Fax: 666186/670306 e-mail: eicltd@africaonline. Legon. Carl Quist Street. Airport . O. Accra. Accra Tel: 249500. 7011560-1. Accra Tel: 770548 Fax: 769592 e-mail: info@equityassuranceltd. O. Box 1322.com P. Enterprise House.gh C/o PMB L16. Box GP 2136. Accra Tel: 780625/6.com P. 763171.com P. Accra Tel: 763065. 780628/9 Fax: 780647 e-mail: gua@ghanaunionassurancecompany. 11 High Street F 33/1.com F828/1Ring Road East. Off Aviation Road. 249501-3 Fax: 249504 e-mail: info@cdhinsurance.LIST OF REGISTERED INSURNACE COMPANIES Contact Details P. Box GP 50. Osu 48 Senchi Street. O. Kuku Hill.

com P. Box CT 2728. Glico House No. Abelemkpe. Box GP 138. Box 4251. 47. Kwame Nkrumah Avenue. Accra Tel: 670335. Design Resource Estate. 4th Circular.com 40C 587/13 Olusegun Obasanjo Highway Accra Girls Area Caledonian House. Accra Tel: 686352/762145 Fax:685176 e-mail: gh.gh P. Accra Tel: 770338/768335 Fax: e-mail: info@igighana. 220797 / 220798 Fax : 230084 e-mail: nem@nemghana. Box 20084. 773616.P.com P. 689517 Fax: 7011575 PMB KA 85 Airport. 3rd Floor. Airport Residential Area Cantonments. Heritage Towers. Accra Tel: 220966/227439/225296 Fax: 237872/3 e-mail: met@africaonline. O.activa@group-activa. O. National Insurance Commission 78 Glico General Insurance Company Limited Activa International Insurance Company Annual Report 2010 Limited Industrial & General Insurance Ghana Limited Intercontinental Wapic Insurance Company Limited International Energy Insurance Company Limited Metropolitan Insurance Company Limited Nem Insurance Ghana Limited . West Ridge. 773609 Fax: 0302 773749 PMB 23. Accra Block 1. 6th Avenue.com. O. Accra Tel. O. Accra Tel: 254487/9239494 Fax: e-mail: info@igighana. Accra 35 Aviation Road.com PMB 163 KIA Airport Tel: 0302 772606. Kojo Thompson Road 11 Saflo Street.

Mamprobi. Accra Tel: 780601-15 Fax: 780615 e-mail: sicinfo@ighmail. 6th Ringway Link Estates. Box MP 1252. C551/4.P. Box 17753. Box 782. Accra-North Tel:242233/240632 Fax:237156 e-mail: sac@africaonline. 224558. 258135-6 e-mail: headoffice@qicghana. 782871 Fax: e-mail: regencyallianceghana. Accra-North Tel: 911023-4. Gamel Abdul Nasser St. Provident Towers. 245921 Fax: 222008 e-mail: info@phoenixghana. Ring Road East (Head Office) 65 Patrice Lumumba Road. Fax 220165. Ring Road Estates. Box AN 7644 Accra-North Tel: 235039. O. 0244371327 P. Accra Tel: 221096/229807/233964 Fax: 233964 P. ATTC) Nyemetei House. Accra. Ring Road Central Kokomlemle Accra. O. Osu. Box 7532. Kanda Highway 224/3. (Adj. 258130-4.com P.com. Cola Street Kokomlemle.com P. Ring Road Central House. 258127. O. Phoenix Phoenix Insurance Company Limited Provident Insurance Company Limited Prime Insurance Company Limited Quality Insurance Company Limited Regency Alliance Insurance Ghana Limited SIC Insurance Company Limited National Insurance Commission Annual Report 2010 Star Assurance Company Limited 79 . O. Accra Tel: 258125. Box 2363. 258139 Quality House. 258129.gh No..com Tel: 778106. O. 246319. O. Accra 258137. Airport Residential Area.com P.

LA Beach Road. Accra Tel: 666485-7/669096/7010680-2 780146 /7010677/9 Fax: 668610 e-mail: vanguard@ghana. Osu Near GCB.P. O. Accra-North 248174-7 Fax: 221430 e-mail: uniq. Accra Tel: 760260.com. 760639. 774771. 760568 Fax: 760568 e-mail: vanguard@ghana. Box Tel: 024 4577469 Adwoa Agiewaa Building. Ring Road Central Kokomlemle National Insurance Commission 80 Unique Insurance Company Limited Annual Report 2010 Vanguard Assurance Company Limited Colina Insurance Company Limited Allianz Insurance Company Limited . O. Osu Independence Avenue near CAL Bank Quality House. O. O.com P. Box 1868.ins@africaonline.com P. Box AN 5721. Box 1292.gh P.

Box 5080.677078 Fax: 677073 e-mail: elac@eicghana. O. Highway.. General Post Office Accra. Enterprise House. Box AN 10476 Accra-North Tel. Box 1322. 0302-252487. Box 3114. Accra Tel: 249061. House No. Opposite Tesano Police Station.LIFE INSUR ANCE COMPANIES Contact Details P. Accra Tel: 240409.com F828/1Ring Road East. Ghana Tel: 677074. kuku Hill. 865A/3. Accra Osu-RE 2nd Floor.com P. North Ridge 91 Saxel Avenue. Tesano. Carl Quist Street. 028-955558 Fax: 250317 e-mail: info@expresslifegh. 11 High Street. 763266 Fax: 763147 e-mail: donewellinsurance.com P. Accra Tel: 763321. Tackie Tawiah Ave. Kanda Location Company Capital Express Assurance (Gh) Limited Golden Life Insurance Company Limited Donewell Life Insurance Company Limited Enterprise Life Assurance Company Limited Express Life Insurance Company Limited National Insurance Commission Annual Report 2010 Ghana Union Assurance Company Limited 81 . Box GP 2136. Accra Tel: 780625/6. O. O. O. O. 780628/9 Fax: 780647 e-mail: gua@ghanaunionassurancecompany. Osu Nkrumah Towers Near Sadisco Traffic Light Kokomlemle. 247942 Fax: P.com Private Mail Bag. 228420 Fax: 250343 P. 245737.

Box MP 1252. Accra Tel: 670335. O. Box 4251. Accra Tel: 221096/229807/233964 Fax: 233964 P. Accra Block 2.com P. 685476. Box 782. O. Accra Tel 685460. O. O. Box CT 456. Off Kwame Nkrumah Ave. Accra 4th Floor Ridge Towers. 780543. O. O.com P. 4th Circular. 689516-7 Fax: 7011575 P. Ring Road Central 224/3. Accra Tel: 781118. 6th Ringway Link Estates. Sudan Road Cantonments.771298 Fax: 769096 e-mail: ghanalifeinsurance. Box 8168. Cantonments. Adabraka Provident Towers.com P. O. Fax: 685466. Design Resource Estate. Accra-North Tel: 911023/4. 245921 Fax: 246311 e-mail: phoenixghana. 246319. Accra Tel: 254487/9239494 Fax: e-mail: info@igighana. No. Accra Tel: 234017 Fax: 220165 Email: qic@africanus. National Insurance Commission 82 Glico Life Insurance company Limited Annual Report 2010 Ghana Life Insurance Company IGI Life Assurance Ghana Limited MetLife Insurance Ghana Limited Phoenix Life Insurance Company Limited Provident Life Assurance Company Limited Quality Life nsurance Company Limited . Box GP 138. 17 Aviation Road Airport Glico House.net Peters House. Box 17753.P. 685440 P. Mamprobi. 47 Kwame Nkrumah Avenue.

P. 666682. SIC Life Insurance Company Limited Starlife Insurance Company Limited Unique Life Assurance Company Limited Vanguard Life Assurance Company Limited National Insurance Commission Annual Report 2010 83 .com. Accra Tel: 662286. 663431 Fax: 671072. 33-34. O. 0289520737 Fax: 248173 e-mail: uniq. O. 0302-685079-82.gh PMB CT 3455 Cantonments Tel. Box CT 3242.ins@africaonline. 664756. Island Property No. Box AN 7532. 21 Independence Avenue Independence Avenue near CAL Bank Road Kingsman Building 1st floor Plot No 78A Graphic Crescent Asylum Down Kwame Nkrumah Avenue. Accra-North Tel: 258943-6 Fax: 258947 PMB 114 Central Post Office Tel.com P. 235434-5 235437 Fax: 235437 e-mai : info@vanguardlife. Cantonments.com No. 253242. 678125 e-mail: info@siclife-gh.

Box CT. Accra-North.gh. O. 4 Awudome Industrial Estate Location LIST OF REGISTERED REINSUR ANCE COMPANIES Company Annual Report 2010 Ghana Reinsurance Company Mainstream Reinsurance . O. Tel: 220660/220697/233043/4 Fax: 221958 P.com 3rd Kuku Crescent.3959.7011886.0244-335711 Fax 788325 Email: info@mainstream. Osu No. Accra Tel. 0302-788326.National Insurance Commission 84 Contact Details P. Box 7509.

Comm. Accra. Accra Tel: 661572. Republic House Accra House No. O.allrisksconsultancy. Box K. 15 Kwame Nkrumah Avenue Annex ‘B’. Cantonments. Box CT 6046. Accra Tel: 237573. First Floor.com P. Box 11585. Room 109. 027-545654 Fax:246543 e-mail: akorisk@ghana./Fax: 662657 WPZ Building. Owusu Kofi Street. Accra-Newtown F393/4 Otswe Street. Box 953. O. Accra-North Tel: 0302 789909. Mamprobi-Accra Tel.com P. Ako Adjei Park. 237248 P. Fax: 0302 789912 e-mail: info@allrisksconsultancy.com www. Kaneshie-Accra Tel: 020 8226823 Fax: 660650 P. O. Box KN 3068. Darkuman. Box 1609. F386/1 Kuku Hill Cresent. 681156 P. 649. Box SK 26 Sakumono. O. O. Accra Newtown – Accra Tel: 233459. 13 Tel: 0244731209 P. Osu Location Company AG Associates Akoto Risk Management Limited All Risks Consultancy Limited Allied Insurance Brokers Limited Alpha Insurance Brokers Limited Apex Insurance Brokers Limited National Insurance Commission Annual Report 2010 Ark Insurance Brokers Company 85 . O.LIST OF REGISTERED INSUR ANCE BROKING COMPANIES Contact Details P. O. Osu 90 Kwame Nkrumah Avenue House No. 68.

8 Olympic Street Kokomlemle. Adabraka-Accra Tel : 028 9523683 E-mail : asterix@asterixghana. Box CT. No. Mataheko. Accra Marydee House C124/3 Farrar Avenue Hse. Lagos Avenue. 2E) Trust Towers. Off Farrar Avenue. 4 Awikonaa St. Adabraka 2nd Floor (R. Box 71. Mamprobi-Accra Tel: 226936. Tema. Accra Kojo Thompson Road. O. Box 2577. 024-251167 P. O. O. Cantonments. Wood & Associates First Anchor Risk Management . Trade Fair Centre. O. Accra-North Tel: 229349/224670/233078 Fax: 224809 P. Box AD 50. O. East Legon National Insurance Commission 86 Annual Report 2010 Ceris International Limited Claim Limited Crown Insurance Brokers Danniads Limited Double D & M Limited Dynamic Insurance Brokers Edward Mensah. No. 671330.com P. 713899 Fax:713882 P. Ghana Tel: 713900. 657/4 2nd Floor (opposite City Paints) No.Asterix Brokers Limited P. Box 16882. 0208404264 Fax: 680926 P. Accra Tel: 227908 Fax: 233380 P. Box 15282 Accra-North Tel: 249288/249289 Fax: 250915 P. O. 1731. O. 1 Kwashieman Road. Accra Behind the popular Aggie Cold Store No. Accra Adarbraka House No. Accra Hse. D325/4. Box CT 3547 Cantonments-Accra Tel: (021) 680925. Box AN 5042 Accra-North Tel: 413892/0244-94206 No. O. Trade Fair Centre (Pavilion ‘V’) La. Box 117. Brewery Road Official Town. Tel: 778829 Fax:760830 P. O. 0244319862. 117. Nungua.

Heritage Tower. NT Ridge (Opposite Accra High School) Supermarket Ridge. 667339/229796/662174 Fax: 231184/668199 P. Ring Road Central Location: H/No 14 Ridge Road. Accra Tel: 250384 Fax: 670518 P. 221021 Fax: 221869 P. Osu. Accra Tel: 027-7734385 P. Kristal Plaza Comm. behind Catholic Book Centre Benefits Plaza. Gras Savoye Ghana Limited Horizon Insurance Brokers Limited Insurance Centre of Excellence Insurance Consultancies International Limited Inter-Africa Brokers Limited International Consortium Brokers Limited National Insurance Commission Annual Report 2010 JeRock Insurance Brokers 87 . O. 3rd Floor Swanmill.com.Ghana International Insurance Brokers P. Accra Tel: 020-2018138. 024-3288703 209 Geors House. Taifa. Nsawam Road. Opposite Burkina Faso Embassy. 020-8207062 P. Box CS 8409 Comm. Accra Te: 0244316008 P. O. Ambassadorial Enclave. Achimota. Accra Last Floor. Box GP 242. Box 7130. Cantonments. Accra. 4 Tema.89 Stadium Post Office. Accra First floor. Global Impact Insurance Brokers (Gh) Ltd. KIA-Accra Ghana Tel: 239 855 Fax: 234 128 E-mail ice@4U. Off Kojo Thompson Road. Box 30688. O. O.gh P. Accra Tel: 0244576064. 0208139994 P. Tudu. Palma House. Accra-North Tel. O. Marto House. Box T. O. O. Box CT 2868.02448430185. 7 Tema Tel: 0244-372463. Near Evergreen 15th Floor. Box 4648 Tel: 231182-3. O. O. Asylum Down Adabraka. Box TA 469. Box OS 2774.

911785. 764573. National Insurance Commission 88 KEK Insurance Brokers Limited Annual Report 2010 Lordship Insurance Brokers Marine & General Brokers Limited Maxpal Intermediaries MIDAS Insurance Brokers Limited Ascoma Ghana Management Limited Progressive Insurance Brokers Limited Prudent Consult Limited . Box 6681. Box T.com P. Awudome Roundabout. Box GP 2913 Accra Tel: 0302 254647 Info@mginsurancebrokers.gh P. Senchi St. Box AN 8118 Accra-North Tel: 020-8157160. Box AN 10554 Accra-North Tel: 255168 Fax: 258667 E-mail: midasinsurance@tn. O.P. 764390.40/41. East Legon.com. O. 764210 Fax: 764138 e-mail:kek_insurance@ighmail. No. O. Adabraka.com P. O. O. 764573. Accra Tel : 237242. Box GP 14438 Accra Central Tel: 237058. 0244-883991 Hse. Accra Silicon House. Tradefair. 020-2018102 P. 4 North Ridge Crescent Plot No. 024 3690363 Fax : 304977 E-mail : newland@k5online..com P. A10. 520/4. Accra-North Tel: 764023. O. Stadium Post Office Accra Tel: 232795 Fax: 240569 P. Jones Nelson Street. Aviation Road. Box 206. Adabraka Adabraka Fax 254649 5th Floor Plaza 123 Kwame Nkrumah Avenue C140 Motorway Extension Abelemkpe Airport Residential Area. kaneshie 26 Farrar Avenue. Box AH 844 Achimota Tel: 781435/781774 Fax: 770432 P. No.0244-767037. O.79. O. Accra Broking House No. Accra Banku Junction.

Box GP 13596. 024376965 Fax: 786602 E-mail: jadukofi@africaonline. O. Accra Tel/Fax: 230861. 918011. No. Tel: 91511. East Ayawaso. O.com. O. 761944. Box GP 13197. South industrial Area. 786603. Accra Hs. Accra 45 Dadeban Road.com P.com P. 256183. Accra-North Tel: (233-21)244861. Cantonments. O. Accra. North Kaneshie Industrial Area Kanda. Saviour Insurance Brokers & Consultants Trans-National Brokers Limited Tri-Star Insurance Services Limited Universal Insurance Consultants Ltd. 220302 Fax: (233)220319 P. Tel: 222076/229362 Fax: 233944 e-mail:unicbrok@ghana. Olympic Road. 0243761632 Fax: e-mail:Stephen@deebabs. Box 17841. Box DS 1632 Dansoman. 028 9540270 Fax: 224804 e-mail:premiumbroker@gmail. O. Blue Chip Building Safety Insurance Brokers Ltd. Email: Marble House. Box CT 117. Accra. Accra 2nd Floor. O. Accra Tel. O. Tel: 519651-2. 5. Standard Chartered Bank Building Adabraka 213/4. Box 468. Accra Tel. Shield Insurance Brokers Limited National Insurance Commission Annual Report 2010 Premier Brokers & Consultants Riscovery Limited 89 . Accra Tel: 224559 P. 024 4272060 P. Ashely Botwe 1st Floor.P. Kokomlemle. O. Box OS 2912 Osu.gh P. Accra.com P. Box 12566.

0302-778820 Fax : 0302. Box M606 Accra Tel.com P. 816389 e-mail :rmas. Industrial Area Barners Road. Near Club 10. Osu. Opposite St Thomas School. No. O. 420111. Box CT 2488 Cantonments.com P. 120B Spintex Rd. Box GP 1800 Accra Tel. 816390.gh@hotmail.com P. 0278369642 Cantonments Rd. Accra.North Tel. 0243574690 e-mail: islghana@yahoo. 0302 938112. O.515479 PMB CT 382 Cantonments-Accra Tel. . Kanda. Fax : 420112 e-mail :bkavinsurance@yahoo. O. Accra National Insurance Commission 90 Risk Solutions Limited Annual Report 2010 Insurance Solutions Limited KAV Insurance Brokers Limited Risk Management and Advisory Services Trinity Insurance Brokers Ltd. Accra Tel. near Workers College. Adabraka. O.P. AN 12331 Accra. Spintex Road.

Box 9155. 234568 Fax: 225654. 020 8132962. Accra Company KEK Reinsurance Brokers (Africa) Limited National Insurance Commission Annual Report 2010 91 . 221716. 232165.com Near Kembs Hotel 40 Adwadu Street.LIST OF REGISTERED LOSS ADJUSTING COMPANIES Contact Details P.gh Location KEK Insurance Broking HouseNo. Box An 6681 Accra-North Tel: 230065. Mataheko. O. Accra Tel: 024 4327960. Location Company Manyo-Plange & Associates LIST OF REGISTERED REINSUR ANCE BROKING COMPANIES Contact Details P. Area.com. 323878 Fax: 304977 E-mail: manyoplange@yahoo. Accra. KIA. Airport Residential. O. 241006 e-mail: kek@kekinsurance. 40/41 Senchi Street @ Aviation Rd.

National Insurance Commission NOTES 92 Annual Report 2010 .

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