Troubled Insurers faces liquidation hearing

Policyholders and brokers of IGI Ghana, a non-life insurer, will be eagerly awaiting the result of a court hearing that will determine whether both IGI General Insurers and IGI Life are put into liquidation.

B&FT understands that the administrators of the two companies have long concluded their findings since the first quarter of 2014.

The National Insurance Commission (NIC), regulator of Ghana’s Insurance market, has applied to the court through its external solicitor Law Trust to seek approval for winding-up the two companies and appointment of a liquidator.

The NIC ordered IGI General and IGI Life to cease writing new insurance businesses and stop renewing existing insurance contracts from May 17, 2012.

The regulator, NIC, subsequently in pursuit of its statutory functions informed the general public that the two insurers are undergoing regulatory interventions to improve their operational efficiency.

B&FT was told that the insurers could not survive the interventions, hence this action.