Insurance is a way of protecting yourself and your assets from unforeseen risks and losses. It is a contract between you and an insurance company, where you pay a premium, and the company agrees to compensate you for specific events that may happen in the future. Insurance can help you cope with financial difficulties caused by accidents, death, illnesses, natural disasters, theft, lawsuits, etc.
Many types of insurance policies are available for individuals and businesses. Some are mandatory by law, while others are optional but highly recommended. This article will discuss some must-have insurance policies in Ghana and why you should consider getting them.
Motor Vehicle Insurance
Motor Vehicle (Third Party) insurance is compulsory for all drivers and owners of motor vehicles in Ghana. It covers the insured’s liability for bodily injury or death of third parties, and damage to their property, caused by the insured car. The cover can also cover the damage or loss of the insured vehicle due to fire, theft, or accident. The levels of coverage are available are Third-party Only, Third-Party, Fire and Theft, and Comprehensive. You should choose the one that suits your needs and budget.
Life Insurance
Life insurance is a policy that pays out a lump sum or regular income to your beneficiaries in the event of your death. It can help you and your family cope with the financial impact of losing a relative, such as funeral expenses, education costs, and living expenses. Life insurance can also be an investment, as some policies accumulate cash value over time that you can withdraw or borrow against. Different life insurance policies are available such as Term Life, Whole Life, and Endowment. Consult an insurance agent or broker to determine which is best for you.
Property Insurance
Property Insurance is a policy that covers the damage or loss of your property due to fire, flood, earthquake, theft, vandalism, or other perils. It can protect your home and its content, business premises, furniture, appliances, equipment, inventory, and other valuables. Also called Assets All Risks Insurance or Fire Insurance, Property insurance can also cover your commercial buildings and stock-in-trade and other business assets. In Ghana the cover can even to extended to include collapse of buildings and indemnity for liability for injury or damage to third parties arising from the use or occupancy of the insured property. Property insurance for residential properties is optional but highly recommended for anyone who owns or rents property in Ghana. Property insurance for commercial buildings in however mandatory under Section 218 of the Insurance Act, 2021 (Act 1061)
Travel Insurance
Travel Insurance is a policy that covers the risks and expenses associated with travelling abroad. It can cover medical emergencies, trip cancellation or interruption, baggage loss or delay, personal accidents, legal assistance, and more. Travel insurance is optional but highly recommended for anyone who travels frequently or plans to travel in 2023. For travels to the Schengen countries, travel insurance is often part of the visa application requirements. You can buy travel insurance online or offline before your trip.
Health Insurance
Health Insurance is essential for everyone, as it covers the cost of medical treatment and care in case of illness or injury. In Ghana, there is a National Health Insurance Scheme (NHIS), a social health protection program that provides primary health care services to all citizens and residents. Private Health Insurance companies also offer a variety of health insurance policies or packages that may provide coverage over and above those available under the NHIS.
Cyber Insurance:
As digitalization and remote work become more prevalent, so do the risks of cyberattacks and data breaches. Cyber insurance can help protect you and your business from the financial and reputational losses caused by cyber incidents, such as ransomware, identity theft, or phishing. It is best to look for cyber insurance policies that offer comprehensive coverage, proactive prevention, and incident response services.
These are some of the must-have insurance policies in 2023 that you should consider getting to protect yourself, your family and your assets from unforeseen risks and losses. Insurance can give you peace of mind and financial security in need. However, before you buy any insurance policy, understand its terms and conditions, benefits and exclusions, premiums, and claims procedures.
