Legal and procurement red flags in Ghana Gas insurance change - IMANI

IMANI Africa has raised legal and procurement concerns over insurance arrangements at the Ghana National Gas Company. The concerns are detailed in the second instalment of IMANI's Insurance Question series, which names the Ghana Gas case as sitting "at the centre of this dispute." According to submissions made by GLICO General Insurance Ltd to the Presidency, GLICO had secured a structured insurance programme for Ghana Gas, with participation from A-rated international reinsurers, including the London market. GLICO indicates that its role as lead insurer was terminated effective December 31, 2025, with a different insurer stepping in from January 1, 2026.

IMANI's analysis raises three questions about that transition: whether it was subjected to a competitive procurement process; whether existing contractual obligations were reviewed and lawfully terminated; and whether the implications for international reinsurance commitments were assessed before the change was made. IMANI warns that unilateral disruption of such a structure carries systemic consequences - affecting Ghana's credibility in international insurance markets, future pricing of risk, the availability of reinsurance capacity, and the long-term cost of insuring strategic national assets. The think tank also flags concerns about third-party engagements in reinsurance negotiations involving entities that exercise regulatory or quasi-regulatory influence while maintaining competing commercial interests in the same market.

If such engagements occurred without the authority of the insurer of record, IMANI says they may conflict with provisions of the Insurance Act, 2021 (Act 1061), particularly around authorised placement structures, regulatory oversight, and market conduct standards.