Ghana informal business fire risk and insurance costs

National data shows market traders in Ghana are prepared to spend GH¢25 weekly on insurance, with drivers willing to pay the most.

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A National Insurance Commission study found that fire is the leading risk for informal businesses in Ghana.
The report outlines median weekly insurance premiums by occupation and region to guide product development.

The National Insurance Commission of Ghana has identified fire as the leading threat to informal businesses, according to a report published by MyJoyOnline. The survey, conducted between January and March 2026, collected 26,493 responses from ten regions. MyJoyOnline noted that 41% of participants cited fire as their main business risk. Theft and robbery were mentioned by 36% of respondents, while illness was identified by 34%. The study aimed to help insurers design policies that match the financial realities of informal-sector workers.

Market traders indicated a median willingness to pay GH¢25 per week for insurance, as reported by MyJoyOnline. Drivers showed the highest financial commitment, with a median of GH¢30. Artisans recorded a median of GH¢20, while store owners and youth entrepreneurs each indicated GH¢15. The overall median for the sample was GH¢20 weekly. Regional differences were significant, with Ashanti, Greater Accra, and Bono showing higher median payments of GH¢30, compared to GH¢10 in the Northern and Volta regions. Fieldwork was carried out by 218 graduates of the Youth Employment Agency.

The report proposed three pricing tiers to improve market access. Basic protection would cost between GH¢10 and GH¢15 per week. Standard policies would range from GH¢20 to GH¢30, while comprehensive cover would be priced between GH¢40 and GH¢60. MyJoyOnline explained that these bands are intended to align insurance costs with the income levels of informal businesses. The study also recommended using mobile money for weekly payments and simplifying the claims process through digital policy issuance.

MyJoyOnline observed that stated willingness to pay does not guarantee actual purchase. Converting interest into long-term participation requires affordable products, clear policy terms, and reliable claims payments. The findings suggest that insurers must consider specific business threats and financial capacity when expanding into the informal sector. The report, titled the NIC-YEA Insurance Awareness and Risk Perception Report, provides a framework for developing accessible financial protection for Ghana’s informal economy.

Ghana informal sector survey highlights fire as primary business threat

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