Ghana is enforcing mandatory local cargo insurance for all imports, a move aimed at strengthening the economy and protecting importers from trade-related risks.

The Chief Executive Officer of the Ghana Shippers’ Authority (GSA), Professor Ransford Gyampo, underscored the importance of the policy, describing it as a critical intervention to boost Ghana’s domestic insurance industry and curb capital flight.

Speaking at a sensitisation seminar held at the Ghana Shippers’ House in Accra on Wednesday, April 8, 2026, he explained that the directive, issued by Finance Minister Cassiel Ato Forson, requires the Ghana Revenue Authority (GRA) and the Bank of Ghana (BoG) to enforce local cargo insurance in line with the Insurance Act, 2021 (Act 1061), effective February 1, 2026.

He noted that the policy is designed to curb capital flight, improve transparency in insurance transactions, and support the growth of Ghana’s domestic insurance sector.

“This decisive policy intervention is intended to protect shippers, retain insurance premiums within the national economy, and foster sustainable growth,” he said.

Professor Gyampo also highlighted the risks associated with global trade, noting that a significant volume of cargo is exposed to hazards such as piracy, conflict, and maritime accidents.

He stressed that cargo insurance remains the most reliable safeguard against financial losses.

We have the capacity - Local insurers on mandatory cargo coverage

“When broader risks such as piracy, terrorism, conflict, and industrial actions are considered, substantial risks exist across all modes of cargo,” he said.

According to him, despite the widespread use of Cost-Insurance-Freight (CIF) arrangements, only a small fraction of imports into Ghana are insured locally, leading to significant revenue losses.

“Research shows that although most imports are transacted on a CIF basis, only about six percent are insured locally in Ghana,” he noted.

He further revealed that many importers lack adequate knowledge of their insurance coverage, leaving them vulnerable during claims processes and disputes with foreign insurers.

“Approximately seventy-five percent of importers have limited knowledge of cargo insurance coverage and their rights and obligations,” he said.

Professor Gyampo emphasised that local underwriting offers numerous advantages, including faster claims processing, stronger regulatory oversight, and improved access to insurers, all of which contribute to national development.

He also pointed to ongoing efforts by the GSA and its partners, including the National Insurance Commission and the GRA, to ensure the smooth implementation of the policy through stakeholder engagement, training, and public education.

The seminar forms part of a broader nationwide sensitisation campaign aimed at preparing importers, freight forwarders, and insurers for full compliance while minimising disruptions to trade.

Professor Gyampo called on all stakeholders to support the initiative, describing it as a shared responsibility that will ultimately benefit the entire economy.

“Together, we can build a robust cargo insurance industry that enhances transparency, accelerates claims settlement, and contributes meaningfully to growth,” he said.

The mandatory local cargo insurance policy is expected to play a pivotal role in strengthening Ghana’s financial sector while ensuring that importers are better protected against the risks associated with global trade.

SO/MA

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