Perceptions About Insurance – And What Needs to Change

When I asked a few people what insurance meant to them, their responses were revealing — and quite familiar.

🔸 “I thought insurance was only health-related. You get a card from the government, and it helps you when you’re sick.” 🔸 “Insurance is fine, but third-party is something almost all of us can afford.” 🔸 “It’s a good thing, but many insurance companies can’t be trusted.” 🔸 “Insurance is not to profit; it just brings you back to where you were.”

These views, while different, point to three major truths about how insurance is perceived in Ghana and many parts of Africa:

1. Insurance is still misunderstood.

Many people see insurance only through the lens of health, largely due to the widespread visibility of Ghana’s National Health Insurance Scheme (NHIS). It’s what most people encounter first: a government-issued card that grants access to basic medical care. But insurance is much more than that. It spans motor, property, life, travel, agriculture, and even mobile insurance.

Yet this broader understanding is often missing. And without awareness, people don't explore options beyond health, even when they need them.

2. Affordability and trust are major barriers.

Third-party insurance, especially for vehicles, remains the most common because it’s mandatory. But it offers minimal protection. The real coverage comes with comprehensive insurance, and unfortunately, that’s often seen as a luxury.

Then there’s the trust issue. Claims delays, poor customer service, and complicated fine print have left many Ghanaians skeptical. “They’ll collect your premium, but won’t show up when it matters,” someone told me. This lack of confidence holds people back from fully engaging with insurance as a safety net.

3. The principle is understood, but the system must catch up.

Interestingly, even with the challenges, the basic principle of insurance is clear to people. As one person rightly put it: “The fortunate compensate the unfortunate.” That’s the heart of it, spreading risk so that no one bears the full cost of disaster alone.

What’s missing isn’t belief in the idea, it’s belief in the system. And that’s where both insurers and policymakers have work to do.

Where Do We Go From Here?

We need stronger public education, better regulation, and more digital, accessible insurance products tailored to the realities of African consumers. People shouldn’t have to choose between affordability and protection. They shouldn’t have to hope an insurer will show up; they should know they will.

Insurance is not a luxury. It’s a tool for resilience, and every Ghanaian and African deserves access to it and trust in it.