Monrovia, Liberia – In order to strengthen the country’s insurance industry and guarantee greater financial stability, the establishment of the Liberia Insurance Commission through legislation will be important, according to Henry F. Saamoi, Executive Governor of the Central Bank of Liberia (CBL), who has emphasized the urgent need to enact the Draft Insurance Act.
Governor Saamoi emphasized during the opening of a three-day validation workshop in Monrovia on Wednesday, March 5, 2025, that the Insurance Act will strengthen regulatory oversight by enabling the Liberia Insurance Commission to subpoena information and witnesses from government institutions once it is enacted.
The workshop, with the topic “Redefining Insurance Regulation and Supervision in Liberia,” aims to improve the 2020 draft insurance legislation. Governor Saamoi described the main features of the proposed law, which include licensing insurance businesses across the country, establishing a specialized complaints resolution bureau, and enforcing necessary insurance products like third-party auto insurance.
The governor of CBL emphasized that the present insurance regulatory structure in Liberia is unclear, with supervision scattered among several organizations. He maintained that modernizing the industry requires independent regulation. He said, “this Act will establish an autonomous Insurance Commission, creating a dedicated regulatory body solely responsible for overseeing the insurance industry.”
He noted that the new commission will be a state-owned corporation whose duties include establishing industry standards, enforcing laws against unregistered insurance companies, and guaranteeing fair competition.
Governor Saamoi said, “The commission will oversee licensed entities based on risk assessment, regulate the sector, encourage competition, increase access to insurance, and ultimately support Liberia’s economic growth.”
Governor Saamoi characterized the workshop as a significant event for Liberia’s financial sector, pointing out that the discussions move the nation closer to creating an autonomous insurance regulating agency. He outlined notable accomplishments from the CBL’s ten years of supervision of the insurance sector, such as the adoption of sector-specific laws that brought Liberia’s insurance sector into compliance with regional norms and the specialized training of eight employees in insurance governance.
Governor Saamoi said that current regulatory initiatives have aided in enforcing adherence, guaranteeing prompt claims processing, and safeguarding the public against unlicensed insurers. Although the move to an independent Insurance Commission represents a significant structural change, Governor Saamoi promised that the CBL is still dedicated to helping it be implemented successfully. “To ensure the commission operates effectively, the Central Bank will continue to provide technical assistance, oversight, and collaboration.”
He reiterated the CBL’s position as a crucial player in the sector’s transition and underlined that the new regulatory body’s success will rely on its capacity to adjust to market needs. “This validation process’s launch represents a turning point for Liberia’s financial industry. It shows the government’s and stakeholders’ shared commitment to creating a robust and inclusive financial system.”
At the workshop, prominent judicial and government representatives voiced their strong support for the proposed legislation. Speaking at the session, Transport Minister Sirleaf Tyler emphasized the significance of the certification procedure. He used Liberia’s sizable ship register, which consists of more than 5,000 boats, and the ability for the insurance industry to make money by locally insuring some of these vessels to highlight the sector’s enormous potential.
Minister Tyler stressed the government’s decision to make insurance required for car registration and restated the Ministry of Transport’s commitment to assisting the insurance commission.
Dehpue Zuo, Deputy Finance Minister for Economic Management, also addressed the meeting, emphasizing the draft Act’s significance in determining Liberia’s financial environment going forward. He commended players for their efforts in building a solid basis for a dependable and responsive insurance market and emphasized the necessity of regional collaboration in this area.
