Cllr. Eva Mappy-Morgan, Chief Judge of the Commercial Court of Liberia, emphasizes the need for a National Insurance Commission to strengthen regulation and oversight in the sector. She highlights historical challenges, recent improvements, and advocates for modernizing legislation to create a robust insurance framework. Successful regional models and risk management practices are essential for consumer protection and market growth, benefitting both local insurers and policyholders.
Cllr. Eva Mappy-Morgan, the Chief Judge of the Commercial Court of Liberia, has underscored the necessity of a rigorous regulatory framework to establish a National Insurance Commission in Liberia. During a recent workshop organized by the Central Bank of Liberia, she stated that a standardized and vigilantly executed regulatory environment is essential for transforming the country’s insurance sector.
Mappy-Morgan highlighted the importance of a well-articulated standard and a strong regulatory framework, which are vital for creating an insurance commission that will fundamentally change Liberia’s insurance landscape. She commended Central Bank Governor Henry F. Saamoi for prioritizing insurance reform and successfully initiating critical regulatory changes in his tenure.
Providing historical context, Judge Mappy-Morgan pointed out that during the 20th century, foreign insurance firms dominated the industry, leaving local entities struggling due to inadequate capital, lack of expertise, and ineffective oversight. The limited presence of Liberian-owned companies created significant challenges in competing against well-resourced foreign organizations.
The civil conflict during the 1990s and early 2000s exacerbated these issues, yet recent positive trends show a revival of Liberian insurance firms, increased consumer confidence, and intensified competition in the market. Mappy-Morgan highlighted that the creation of a National Insurance Commission is vital for effective regulation, ensuring compliance, and promoting sector growth.
She emphasized that a regulatory body would safeguard consumer interests, prevent fraud, and ensure that companies act responsibly. The commission would also foster market growth by supporting new entities, encouraging innovation, and attracting investments, thus enhancing Liberia’s insurance market.
Moreover, Mappy-Morgan underlined that robust risk management practices must form a core mission for the proposed commission, enhancing industry resilience and enabling insurers to meet their obligations. She advocated for aligning Liberia’s regulations with regional and international standards, facilitating local companies’ integration into the global marketplace.
A transparent and accountable commission would instill public trust, motivating more citizens to participate in the insurance market. Mappy-Morgan referenced successful regional examples, such as Ghana’s National Insurance Commission and Nigeria’s National Insurance Commission, both of which have significantly improved their respective insurance sectors through rigorous oversight and compliance.
She called for a thorough review of Liberia’s Insurance Law of 1973 to modernize legal frameworks, aligning them with industry realities. Her dedication to enhancing Liberia’s insurance regulatory landscape is demonstrated by her background and commitment to best practices from the West African Insurance Institute.
Judge Mappy-Morgan reaffirmed the Commercial Court’s role in swiftly addressing insurance disputes, which is crucial for maintaining market stability. “The Commercial Court shall continue to adjudicate insurance and reinsurance matters with the prompt determination required by law,” she stated, reaffirming the court’s dedication to efficient resolution of commercial issues.
In conclusion, Judge Eva Mappy-Morgan’s advocacy for a National Insurance Commission is a critical step towards strengthening Liberia’s insurance sector. Her call for robust regulatory frameworks, risk management practices, and alignment with international standards emphasizes the potential for enhanced consumer protection and market growth. Historical context reveals the challenges faced by local companies, but recent trends show promise for reinvigorating the industry. Continuous commitment from stakeholders will be essential to achieve these objectives and protect the interests of Liberians in the evolving financial landscape.
Original Source: www.liberianobserver.com
