Private Health Insurers Association increases premium

The Private Health Insurers Association of Ghana, a group of health insurance companies providing healthcare support to various organisations, has increased its annual premiums for health insurance to GH¢ 1,000.

The increment, which took effect from September 1 this year, was in line with a general review currently ongoing in the insurance industry.
Previously, health insurance premiums ranged from GH¢500 to GH¢ 600 depending on the insurance company.

Speaking at a news conference in Accra, the President of the association, Mr Ronald Oppong Adom, said the upward review of prices was due to the current economic conditions in the country.

“It has become necessary for members of the association to adopt steps in line with premium reviews to sustain the operations of the insurance business,” he said.

Improved healthcare

Mr Adom said the decision was taken in consultation with the National Health Insurance Authority (NHIA) after the association deliberated on the need to sustain its operations following current economic situation.

“We are responsible for financing the medical care of about 200,000 scheme members. As an industry with a potential for growth, we have deemed it necessary to act together towards protecting the interest of quality and affordable healthcare in spite of the harsh prevailing economic trend,” he said.

According to Mr Adom, analysis conducted by the association revealed that healthcare claims cost against premiums showed that private health insurance companies needed to hike their premium to stay in business.

Claims

Mr Adom said the association, which had a membership of 23 insurers, paid an estimated GH¢10 billion annually as claims to organisation.

“If we are going to sustain our operations and continue to offer the best medical healthcare, then our premium cannot be maintained,” he said.

Mr Adom said the association was prepared to engage with healthcare service providers on tariff negotiations and best practices in treatment procedures.