Wapic Insurance has announced its compliance with the National Insurance Commission’s (NIC) recapitalisation requirement, wiith the injection of fresh funds which have raised its capital base to GH¢17.1 million, above the GH¢15 million minimum quota.
The company said in a statement that the regulatory recapitalisation directive was in line with Wapic Insurance’s own ongoing transformational agenda to position the company for industry leadership.
Accordingly, the company has commenced deepening its capital base since 2014 prior to the NIC’s revision of the solvency framework.
Wapic’s parent company, Wapic Insurance Plc of Nigeria injected GH¢6.78 million to boost the company’s capital base in the first quarter of 2014 and another GH¢10.41 million in December last year to enhance its capital adequacy ratio, which is above the 150 per cent regulatory minimum.
NIC’s solvency framework
The insurance industry regulator, the National Insurance Commission (NIC), introduced a new solvency framework in 2015 which took effect on January 1, 2016.
Under the new guidelines all insurers and reinsurers were expected to recapitalise to a minimum of GH¢15 million by December 31, 2015. The capital base of insurers was increased from $1 million to GH¢15 million. This was in a quest to strengthen the financial capacity of operators in the Ghanaian insurance industry.
Wapic outlook
Describing the company’s outlook for 2016, the Managing Director of Wapic Ghana, Mr Adedayo Arowojolu, said the year “presents a unique opportunity to create a truly African financial services company with international delivery standards.”
He said the company was inspired to be one of the fastest growing insurance brands in West Africa “with a continued resolve to transform the industry for the benefit of both our customers and other stakeholders”.