Solvency, a new legal framework

The National Insurance Commission set up as of last January 1 new evaluation standards for the solvency of insurers and reinsurers settled in Ghana.

A new approach based on capital-risk is now adopted with a view to aligning the market with international standards, establishing a link between the level of capital and risk profile. In addition, the minimum capital, now set at 3 million GHS (943 410 USD), will increase to 15 million GHS (4 717 000) by next December 31st.

These measures are also likely to apply to subsidiaries of Nigerian insurance and reinsurance groups operating in the country.