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NIC releases Q2-2025 Non-Life market data amid easing macro pressures

Falling inflation and recent policy-rate cuts set a calmer backdrop for underwriting.

Ghana's insurance regulator has released the Q2-2025 Non-Life Market Report, offering the clearest read-out of industry trends this year. Market gross written premium rose to GHS 2,334,510,393 (+79.49% QoQ), while the combined ratio fell to 99.13% as claims pressure eased.

At the same time, expense ratios ticked slightly higher, underscoring the importance of operating discipline. With Q2's improvement driven mainly by lower claims and steady revenue, we expect management teams to focus on pricing adequacy in motor, tight control of acquisition and overhead costs, and selective growth in corporate property lines where reinsurance capacity remains available.

Key takeaway: Combined ratio improved to 99.13% on lower claims, despite a small rise in expenses.

Market Snapshot

GWP
GHS 2.33B
↑ 79.49% QoQ
Claims Ratio
19.21%
↓ 9.03pp
Expense Ratio
79.92%
↑ 3.88pp
Combined Ratio
99.13%
↓ 5.15pp
Metric Current (Q2-2025) Prior (Q1-2025) Change
GWP (GHS m) 2,334,510,393 1,300,644,048 +1,033,866,345
Claims ratio 19.21% 28.24% -9.03 pp
Expense ratio 79.92% 76.05% +3.88 pp
Combined ratio 99.13% 104.29% -5.15 pp

FX note: No major FX-driven shifts visible in market totals; firm-level experience may differ.

IFRS 17 Checklist (Ghana Non-Life)

Common Calculation Errors to Avoid

PAA Eligibility

❌ Not testing reasonable scenarios (only base case)
❌ Using inadequate materiality thresholds
✅ Test discount rate changes, loss ratio variations, and earnings patterns
✅ Set thresholds with auditor agreement

Discounting

❌ Confusing locked-in vs current rates
❌ Wrong discount curves for multi-currency contracts
✅ Use current rates for LIC measurement
✅ Document currency-specific discount curves

Regulatory Watch

Headline: NIC publishes Q2-2025 Non-Life Market Report

  • What changed? Market totals refreshed; combined ratio improved on lower claims.
  • Action for non-life insurers: Review pricing/expense plans for H2; validate Q2 movements in reconciliation schedules.

Upcoming Dates

November 2025
  • Regulatory filing window (Q3 draft internal)
  • Market insights conference (ASG) - ASG Actuaries Connect
December 2025
  • Interim audit planning

Editor's Note

Thanks for reading this first edition of Orbo360's Monthly Newsletter. We highlight the Q2-2025 improvement in market profitability and provide a compact IFRS 17 checklist.

Tell us what you'd like covered next — company dispersion, motor rate dynamics, or retention trends.