Activa International Insurance Company Ghana Limited (AIIG) and Invest ln Africa (IIA) Ghana, have signed a cooperation agreement to widen access to protection schemes for multiple SMEs.
With direct access to IIA Ghana’s membership network with over 2,000 cross-sector businesses, AIIG aims at providing an innovative and effective model to enhance knowledge of risk management and commercial protection solutions.
A joint statement issued in Accra and signed by Madam Belinda Ofori and Madam Tina Boadi Representatives of the companies, said, “This is in line with IIA’s objective of ensuring the survival and continued development of Africa’s SMEs, maintaining its status as a key driver of economic growth and job creation.”
It said at 2.8 per cent, sub-Saharan Africa’s insurance penetration sits considerably below the world average of 6.8 per cent highlighting the continent’s need to catch up.
The statement said while motor insurance was the largest contributor to non-life insurance driven by compulsory regulatory requirements, accident insurance, health insurance, and property insurance have all shown impressive growth in recent years.
The statement said the partnership represented an innovative strategic approach to accelerating insurance penetration, as well as promoting insurance growth in Africa through targeting unique customer segments.
It said AIIG’s “Activ’Lady Programme”, launched in October 2019 in partnership with the International Finance Corporation, a member of the World Bank Group, specifically targeted female entrepreneurs with customised business protection packages, as well as offering other value-add opportunities such as networking, access to client bases and skills acquisition through training.
“The advancement of female-led business is a priority in the scope of IIA’s work; further strengthened by its COVID-19 Recovery and Resilience programme being delivered with funding from the Mastercard Foundation,” it said.
The programme will support Activ’Lady customers with access to online masterclasses, peer-to-peer sessions, a repository of practical guides and interventions enhancing their access to finance.
Mr Benjamin Yamoah, Managing Director of AIIG said: “Available data shows most SMEs in Africa are owned or led by women, it is therefore important that women in business are supported to grow and expand their businesses.”
He said this would ensure economic and social development and that the partnership would help create a platform that would make female entrepreneurs more resilient to personal and business shocks.
Madam Carol Annang, Country Director IIA Ghana, said, “SMEs are key drivers of African economies, accounting for more than 90 per cent of businesses and employing about 60 per cent of workers.”
“We are committed to building a commercial ecosystem which supports their sustained survival and success, leveraging the power of effective partnerships to build on synergies and expand on reach,” she added.