The Ghana insurance industry is rife with speculation about who will head the National Insurance Commission for the next four years. The industry must strategically position itself to provide financial security for the anticipated 24-Hour Economy promised by His Excellency John Dramani Mahama, while also capitalizing on the expected economic growth that lies ahead.
In my previous article, I outlined the leading candidates whose credentials are being reviewed for the top position at the National Insurance Commission (NIC). Unless there are last-minute changes, one of these individuals is poised to become Ghana’s next Insurance Commissioner. While I personally wish the president had a broader pool of candidates to choose from, I have resigned myself to the saying that “when life gives you lemons, make lemonade.” With that in mind, let me take you through my reasoning on who should be the next Commissioner of Insurance.
A REGULATOR AT A CROSSROADS
The National Insurance Commission (NIC) is currently in a poor state, reflecting the weakness of its present leadership. A new Commissioner is expected to be announced in the coming days to succeed the Akufo-Addo-appointed Acting Commissioner. The Commissioner will have a clear set of challenges to lead the regulatory organisation through.
The NPP’s Domestic Debt Exchange has left many insurance companies with locked-up funds. The new Commissioner will have to be mindful of the state of liquidity of the industry and be careful with the changes (s)he brings on board.
The field of insurance is seeing many significant changes all over the world. There are issues around agricultural sustainability and the role of insurance, climate change, cyber risk, and the place of artificial intelligence in insurance delivery. The new Commissioner will have to think outside the box and apply the tools of regulation to grow the industry beyond the reliance on motor insurance.
For years, the insurance industry has seen little growth in real terms. Penetration rates have remained poorly low despite the assurances from successive Commissioners to change the situation. Questions remain whether Health Insurance and its regulation belong properly to the aegis of the National Insurance Commission or not and whether health coverage should be factored into insurance penetration.
These are but a few of the issues that a new Insurance Commissioner must have his eyes on and deliver results that will benefit the industry, the insuring public, and Ghana at large.
REKINDLING THE SPIRIT OF THE WORKFORCE
The insurance regulatory body has been leaderless for over a year since Justice Yaw Ofori left. Justice, for all his shortcomings and his dedication to the bidding of the former finance minister, had some leadership presence and awareness. On issues that he was right, the NIC had potent representation in him. That all died with his exit.
With the lethargy at the NIC, the incoming leader faces the immediate hurdle of revitalizing the organization by restoring hope and optimism among its employees. This is arguably the most daunting part of the task.
The NIC is home to some of the finest Ghanaian professionals, and with the right leadership, they can be inspired to perform at their best. On the specific challenge of reigniting optimism within the Commission, Seth Aklasi seems to stand out among the candidates. His tenure at the helm of Donewell Insurance demonstrates his ability to move people even against their will to achieve what he desires. In the new role, he will have to prove that he can build consensus and bring stakeholders on board.
LEADING WITH CONFIDENCE
The next NIC Commissioner must be assertive and have the confidence to make bold decisions. This is very important if the Commission can maintain order in the industry and ensure that its objectives are met consistently.
If Seth Aklasi has any real weakness, it is probably his excessive confidence which is often seen as arrogance. Indeed, it is his confidence and strong-will that has earned him some detractors. However, the NIC at this juncture needs a strong agent of change to steer it in the right direction. That is where a man like Seth Aklasi may fit the bill.
KNOWING SETH AKLASI
Aklasi is an Associate of the Chartered Insurance Institute in the United Kingdom and a Fellow of the Chartered Insurance Institute of Ghana (FCIIG). He holds a Master of Science degree in Insurance and Risk Management from Bayes Business School (formerly Cass Business School) at City, University of London. He obtained a Bachelor of Arts degree in Social Science (Geography) from the University of Cape Coast.
CONCLUSION
His Excellency John Dramani Mahama has sent a strong signal of the leadership we can expect over the next 4 years. The insurance industry cannot be left behind in the sea of change that beckons. Everything begins with getting the appointment of the Insurance Commissioner right. A growing economy under the 24-Hour model proposed by His Excellency John Mahama portends economic growth. If the industry needed any impetus to achieve significant growth in real terms, this is the signal.
Dr. Kwame Oteng
mailto:drkwameoteng@gmail.com
Dr. Kwame Oteng is a Ghanaian who resides primarily in Alabama, USA. He is an actuary at Nationwide Mutual Insurance Company and researches on insurance in Africa.
DISCLAIMER: Independentghana.com will not be liable for any inaccuracies contained in this article. The views expressed in the article are solely those of the author’s, and do not reflect those of The Independent Ghana