SIC Insurance has cautioned employers who purposefully do not provide insurance cover for their employees to stop doing so.

As a result, the insurance powerhouse urged employers that providing life insurance to their employees is a legal requirement.

Mr. Irwin Cofie, the Deputy Head of Marketing, SIC Insurance PLC explained that “Every employer with employees in excess of 15 must-have Employers Liability cover insofar as the employee is in the purview of work and suffers injury or death, must be appropriately compensated.

“It is compulsory for employers with 15 or more employees to insure their liability under the Insurance Act which indemnifies an employer against legal liability for injuries to employees resulting from accidents occurring in the course of their employment.”
Mr Irwin Cofie

According to Mr. Cofie, the Workmen’s Compensation Act made it mandatory for employers of labor to set aside funds to compensate any worker who may experience any injury at work, whether or not the employer is to be blamed.

Mr. Cofie, however, expressed worry that the country’s Public Liability Insurance compliance level was low, citing the fact that some public bodies did not have insurance for their employees, and urged them to obey the Insurance Act.

According to him, the definition of a worker under the Act has been broadened to encompass anybody who receives a salary or wages, with the exception of outworking, tributary, and family members of the employer who live with the latter, or anyone who is barred as a worker by the law.

Besides compensation for bodily injury, Mr. Cofi explained that there is a provision for payment of Medical Expenses as a result of the injury. An employer may choose to insure his or her obligation under the Act, as well as expand his or her liability to cover claims brought under common law.

The insurance expert lamented the sector’s low contribution to GDP which hovers around 1%. He asserted that many people are unaware of the benefits of insurance, which explains the low representation.

Premium on Insuring Government properties

The SIC urged the government to make insurance of major state properties and assets a top priority in the event of unforeseen circumstances. He explained that because government properties contain a large number of people, the risk of severe harm in the event of an accident is significant.

Mr. Cofie further posited that the government must implement legislation to ensure that all public institutions are insured, in order to avoid the state allocating unbudgeted funds to compensate individuals in times of need.

“I am using this platform to advocate for the enforcement of regulations to ensure that, all state institutions are insured so that when there’s an accident, the victims will be compensated by the insurance company and not directly by the government.”
Mr Irwin Cofie

He urged institutions to guarantee that their employees were insured against any hazard that could result in death or permanent disability, stating that “the compensation is not just paying for their medical bills but giving them a compensation package, if you are able to do this, then you have fulfilled the law”.