GHANAIANS URGED TO TAKE KEY INTEREST IN ANNUITIES

The Commissioner of Insurance of the National Insurance Commission, Dr. Justice Ofori has urged Ghanaians to have a key interest in Annuities in insurance policies.

Annuities is a financial instrument issued and backed by an Insurance company that provides guaranteed monthly income payments for the life of the contracts regardless of the market conditions.

According to him, Most annuity arrangements provide a way to earn while still on retirement and there is therefore the need to help sustain a decent lifestyle and mitigate the impact of the rising costs of living that characterizes retirement.

He added, The development of the annuities product has been a part of efforts of the NIC to harness the synergies from the pensions market and the Commission started taking these steps having in mind the lump sums from tiers 2 and 3 available to those eligible to retire under the New Pensions Systems.

Speaking  at an Engagement with Annuities Advocates in collaboration with GIZ, he said members of the insuring public particularly those approaching their retirement will begin to appreciate their contributions into the Tiers 2 and 3 upon their accumulated lump sum to enable them purchase a life annuity product to be managed by licensed insurance