Professor Justice Ofori, Commissioner of National Insurance Commission (NIC), has encouraged Ghanaians to patronize fire insurance to protect their properties. He thus, explained that it is not only landlords that can buy the policy, but tenants can also buy it.
According to the Commissioner of National Insurance Commission, fire insurance is very important and that individuals including tenants in a house could buy fire insurance to protect their properties.
“You don’t need to be a house owner or a landlord to buy fire insurance. Insurance is an aid to security and empowers us to face risk and uncertainties… Most of the development in the world are possible because of insurance.”
Professor Justice Ofori
Prof. Ofori made this known at a day’s training programme for selected media persons on Insurance issues. The Ghana Insurance College has for the last four years run training programmes for some journalist across the country on insurance.
Prof. Ofori commended the media for its commitment towards providing insurance education to the populace, saying, “the media is also part of the insurance industry. They form part of the education wing”.
Prof. Ofori indicated that though the Insurance Law, Act 724 of 2006 made it compulsory for privately owned business entities to insure their properties, many are yet to comply. “The law, per Sections 183 and 184, makes it mandatory for all commercial properties either under construction or completed, to have valid insurance certificates,” he stressed.
The compulsory property insurance is to provide financial protection against legal liabilities arising from accidents that cause property damage, bodily injury or death to the public.
The Insurance Commissioner cited the June 3, 2015 disaster as a typical example of a commercial property that should provide compensation to victims of the accident. He lamented the fact that many people spend fortunes in setting up businesses but have a foot-dragging attitude towards paying a little premium to protect these investments. “People who come on to your property to transact business are seen as invitees as such and you are responsible for their well-being,” he cautioned.
Property Insurance
Prof. Ofori used the opportunity to clear any ambiguity regarding what property insurance covers. According to the Commissioner, property insurance is the same as fire insurance as the term is used interchangeably in certain western jurisdictions but conventionally acceptable anywhere in the world. He also indicated that it is not only the peril, and fire that is covered but other perils such as earthquake, flood, thunderstorm, burglary are all covered under fire insurance.
Justice Ofori noted that although the law is not specific about churches and other religious places of worship, it is important to have them insure their properties because they could be held liable for property damage, injuries or death to the public arising out of their negligence.
Participants commended the Ghana Insurance Commission for the training program. They also acknowledged the Commission for its consistent education on insurance issues. “The consistent insurance education we have gotten from the college has empowered us to ask relevant questions and to educate the public on insurance issues,” a participant said.
The participants at the end of the training also presented a plague to honour Professor Ofori for his innovative ways in getting the media involved in insurance education.
Meanwhile, Fire is very destructive and can destroy months and years of hard work if it affects a home or business. When this happens, fire insurance gives a policyholder a financial compensation for any losses or damage to residential, commercial and industrial properties by fire or lightning.
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