Liberia: Central Bank of Liberia (CBL) Hosts Validation Workshop on Draft Insurance Act

Monrovia – As an important step towards establishing the National Insurance Commission of Liberia, the Central Bank of Liberia on Wednesday, March 5, begins a three-day validation workshop to evaluate the draft insurance coverage legislation of 2020 on the Executive Pavilion in Monrovia.

The validation runs till Friday, March 7. The validation goals to evaluate the Proposed Draft Insurance Commission Act, a vital step in direction of establishing a sturdy authorized framework for the institution of the unitary insurance coverage fee to successfully regulate the Insurance Sector of Liberia.

The validation workshop will carry collectively stakeholders with various experience to reinforce the validation of the Proposed Draft Insurance Commission Act. Stakeholders’ suggestions and suggestions might be included into the ultimate draft to be submitted to the Office of the President for onward submission to the National Legislature for passage.

Upon passage by the Legislature, the Insurance Commission Act will result in the creation of the National Insurance Commission of Liberia.
Amongst different issues, the draft Proposed Insurance Commission Act contains the framework for the issuance of regulating and supervising the Insurance Sector, licenses, enforcement of compliance, taking enforcement motion towards unlicensed companies, and establishing requirements for conducting insurance coverage enterprise in Liberia.

Under the draft Act, the proposed Insurance Commission can have energy to subpoena info and witnesses from varied authorities entities, implement necessary insurances together with third-party motor insurance coverage, Fire Insurance, Marine, Professional indemnity Insurance and create a division to deal with complaints towards insurers or insurance coverage establishments.

This new entity would be the sole regulator of the insurance coverage trade, guaranteeing that license holders are supervised on a risk-sensitive foundation, fostering competitors throughout the trade and increasing entry to the insurance coverage market in Liberia. By fostering a well-regulated insurance coverage sector, the fee will even contribute to the general financial stability and progress of the nation.
The Central Bank of Liberia is optimistic that the involvement of stakeholders within the validation technique of the draft act will guarantee due diligence and finest practices as required for the passage of the act and subsequent institution of the insurance coverage fee.

The CBL additionally emphasizes that the engagement and contributions of stakeholders are important to the profitable validation of the Draft Insurance Act, which goals to create a clear, environment friendly, and inclusive insurance coverage trade in Liberia.