AMA, NIC engage stakeholders on insuring buildings against fire outbreaks


The Metropolitan Chief Executive of Accra, Mohammed Adjei Sowah has called for stronger collaboration between Metropolitan, Municipal and District Assemblies (MMDAs) and the National Insurance Commission (NIC) to ensure compliance of the compulsory fire insurance policy on commercial buildings and buildings under construction in the country. 

This according to him would help propel the needed commitment from all stakeholders to ensure the compliance of the relevant sections in the provision of services.  

Mayor Sowah said this on Tuesday at a stakeholder forum organised by the Accra Metropolitan Assembly (AMA) in collaboration with the National Insurance Commission (NIC), Ghana Insurers Association (GIA) and the Ghana Insurance Brokers Association towards the piloting, enforcement and compliance of insurance of private commercial buildings in accordance with the Insurance Act 724 (2006). 

The Insurance Act 2006, Act 724 requires that all commercial buildings and those under construction are insured with an insurance company against the hazards of collapse, fire, earthquake, storm and flood. 

Under the law a certificate of insurance, red in colour, with security features will be issued as evidence of insurance for commercial buildings, while a blue colour is issued for those under construction and are required to be displayed or produced for inspection by the relevant authorities.

A commercial building, under the law, includes educational and medical premises, hospital facilities, shops and premises or offices for the transaction of all forms of businesses.

Mayor Sowah observed that the series of engagement between the AMA and the NIC had brought to light the need to address the challenge of non-compliance in a holistic manner hence the forum adding that each stakeholder has role to play to ensure compliance and enforcement of the Act.

Mr.   Justice Yaw Ofori, Commissioner of the National Insurance Commission (NIC), in a remark cited recent fire outbreaks in the country adding that "these premises if insured would have provided some relief to the innocent users of the building and even other third party who were affected.” 

He appealed to property owners to insure their buildings in order to recover losses in case of any eventuality. 

The forum brought together representatives from the Ghana Police Service, Ghana National Fire Service (GNFS), Ghana Institute of Architects, Facility Managers and the Ministry of Local Government and Rural Development.