NIC targets reduction in insurance fraud to expedite claims payment

The National Insurance Commission (NIC) is working to reduce fraudulent claims. This effort aims to speed up the processing and payment of legitimate insurance claims.

The NIC plans to use the 2025 Inclusive Insurance Innovation Challenge for this purpose. They want proposals that offer innovative solutions to combat fraud in the sector.

Bernard Ohemeng-Baah, Deputy Commissioner of the NIC, spoke about these efforts. He emphasized the importance of innovation and collaboration in improving claims payments.

He noted that faster claim processing is possible if fraud is reduced. When insurers have questions about claims, it delays settlements. Reducing fraud will help build confidence and speed up payments.

Ohemeng-Baah also mentioned engaging with the Chief Justice. They are considering establishing special courts for insurance fraud cases. This move aims to deter fraudulent behavior and strengthen enforcement.

He stated that making false claims is a crime taken seriously by the industry. Some individuals have faced jail time for such actions. The NIC leadership wants discussions with court officials to establish these special courts.

Amina Sammo, Coordinator at UNDP's Insurance and Risk Finance Facility, also spoke on this issue. She highlighted the need for broader insurance coverage among informal sector workers. This would help build resilience and promote inclusive growth.

Sammo hopes that innovative products will cater to traditionally excluded populations after this challenge. The goal of the 2025 Inclusive Insurance Innovation Challenge is to make insurance more accessible and affordable for everyone.