Ghanaians Divided on Home Insurance in Their Native Country

by Kofi Ayim

About 62% of Ghanaians in the New York area who own real estate properties in Ghana say they have no home insurance coverage, according to a recent survey by Amandla.

Out of this, 70% contend they would consider taking some, while 30% have no plans to insure their properties.

In a post-survey chat, Mr. Stanley Opoku Ware, a Newark, New Jersey–based Ghanaian says he abhors the long red-tapeism and unending bureaucracy people go through in Ghana once insurance claims are led.

“You end up fighting them in court and spend lots of money on legal fees. Who needs that?” added Mr. Opoku Ware, who says he owns a six-bedroom private house in Kumasi, Ghana.

A New York–based Ghanaian financial expert suggests that given frequent disasters such as floods and fires, it is prudent to insure real estate properties, especially in areas prone to disasters.

According to the financial expert, the lack of an insurance policy on real estate property could be borne out of ignorance or lack of knowledge of risk management.

Dr. Kofi Boateng, president of the New York–based Ghana Chamber of Commerce, observed that because most houses in Ghana are built without financing from institutions, casualty insurance becomes an option.

He also pointed out that homes in Ghana are built with cement/ concrete blocks and are therefore less susceptible to fires than wooden structures.

Dr. Boateng pointed out that financial institutions in developed nations protect their interests through insurance requirements.

He suggested that the insurance market has not been matured enough to generate business and demonstrate proof of paying claims but believes that “these will change with time.”

Others contend that insurance companies have not effectively been able to market their products and disseminate education to those who need them most or to potential clients.

Posted by on Jul 14 2018. Filed under Community News. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry

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