Ms. Gertrude Adwoa Ohene-Asienim, Executive Director of the Whitestone Shipbrokers Ghana says some $115 million had been paid as claims in the upstream sector to date.
She added that this huge financial burden in the event of accidents, lost or damages made it prudent for businesses in the industry to carefully insure adding, ‘…and the deep blue sea, right? So, once you are going there, you are in a risky environment and anything can happen, and so for any business venture, you need to take adequate insurance to cover your risk again, because the financial models are huge. Whatever gets lost, missing, or damaged is huge.?
Mrs. Ohene-Asienim told the Ghana News Agency after a plenary session on promoting sound insurance practices and risk mitigation strategies in the oil and gas industry at the 2023 Local Content Concern and Exhibition underway in Takoradi in the Western Region.
The Conference is under the theme: ’10 years of Local Content in Ghana’s Upstream Petroleum Industry: Achievements, Challenges an
d Prospects’.
The Whitehouse Ship Broker said the high risks coupled with high financial burden called for strong financial capacity to compensate,’ yourself or the other parties, or the people who are working for you.’
She noted that if banks were taking insurance to cover their risk, then the ordinary businessman must take adequate insurance for the business and employees and even the contract, ‘We say the principle of indemnity, so you are brought back where you were before the loss so that your business does not suffer setbacks’.
In Ghana,?she indicated that the oil companies together with the insurance companies have come together and formed Ghana oil and gas insurance pool which ensured that resources were pulled together…’ if something is high and one insurance company cannot take it. They share the risk among themselves. And when they even take the risk. They also re-insure with a foreign insurer or a local reinsurance market.’
Ms. Ohene-Asienim, wandered why Ghanaian businesses always played on t
he God-Factor of protection without systemic preparation adding, ‘but insurance is for the future. Even for your life….
She continued that ‘You need to ensure your life. Ensuring your life does not mean you are dying. People die and children can no longer go to school. People’s houses get burnt, and you must rent them. Insurance is for you.’
The National Insurance Commission, she lauded, for the many sensitizations with freight forwarders, importers and exporters, postal services, and others in the chain for increased understanding and participation.
Source: Ghana News Agency