BACHELOR OF BUSINESS
GYAMFI BRIGHT AKWASI
INDEX NO: 211BS01000076
A CASE OF STUDY SIC Life INSURANCE COMPANY
Risk may be defined as the possibility of adverse
results flowing from any occurrence.
Risk arises therefore out of uncertainty.
It can also represent the possibility of an outcome being
different from the expected, this brings to mind the
concept of risk protection which insurance is all about.
The proliferation of insurance companies in Ghana
recently, seems to be an opportunity for provident
individuals and groups to contribute monies to various
schemes as a means of risk protection.
Currently in Ghana, "Insurance practice has become
like selling tomatoes at the marketplace where the
buyer tells you, I will give for example GH¢20 and
then the insurer says okay I will accept GH¢10," Mr.
Ebenezer Allotey, Managing Director of Prime
Insurance Company Limited, a private company, told
the Ghana News Agency in an interview.
Michael Rowland ,the Director of Strategic Planning
defines Insurance as a promise of compensation for
specific potential future losses in exchange for a
Insurance is designed to protect the financial
well-being of an individual, company or other
entity in the case of unexpected loss.
Some forms of insurance are required by law,
while others are optional. Agreeing to the
terms of an insurance policy creates a contract
between the insured and the insurer. In
exchange for payments from the insured
(called premiums), the insurer agrees to pay
the policy holder a sum of money upon the
occurrence of a specific event .
In Ghana, there are various types of insurance
packages, notably amongst them are;
Fire Insurance Policy
Theft Insurance Policy
Motor Vehicle Insurance Policy
Accident Insurance Policy
Life Insurance policy .
For the purpose of this Dissertation, Life Insurance
will be the main subject with respect to the State
Insurance Company (SIC Life -TECHIMAN
Life insurance is defined by Abbots ,K.R. and
Perdlebury .N. (1995), as a contract between the insurer
, where the insurer agrees to pay a designated
beneficiary a sum of money upon the occurrence of the
insured individuals or death or other events such as
terminal illness or critical illness.
According to the National Insurance Commission
website http://www.nicgh.org, there are 17 life
insurance companies licensed to operate in the country.
The life insurance policy they provide to the public are
in different classes like :Universal Life, Funeral, Whole
Life, Endowment, Term and Group Life .
What measures have insurance companies put in place
to influence the demand for life insurance policies?
Are the insurance premiums affordable ?
Are the insurance claims paid to beneficiaries sufficient
enough to offset any expenses and losses incurred by
the beneficiary and to live a normal life as proposed by
the objectives of the life insurance policy ?
To assess the efficacy operation of life insurance policy
undertaken in Ghana.
To identify the various types of life insurance policy
undertaken by SIC –Ghana
To assess the kind of procedures , methods or criteria
used in paying premiums to beneficiary.
Help the researcher to know and understand the new
trend of activities in the Insurance industry
Serve as a reference point for other researchers, who
may want to research for a similar
Findings of this study will help and guide the
management of the insurance company (policy
makers) to improve upon the policies.
Provide the frame of general knowledge to all readers
(policy takers and non policy takers)
Both Primary and secondary data sources will be used
in undertaking this academic exercise. The primary
data will be ascertained through the use of (100)
questionnaires which will be designed and sent over to
staffs at the SIC Life Insurance office in Techiman,
some beneficiaries as well as the general public.
The secondary data source will be gotten from the
internet, text books, newspapers and other thesis on
Cost of undertaking the research activity posses a
limitation to the researcher, since the researcher is a
student and not on any means of salary.
Time factor will be another limitation for the study,
since the researcher must combine his normal academic
work with undertaking this time consuming project.
Bureaucracy in soliciting for the necessary information
to help ascertain the true objective of this study is
This study will comprise of 5 chapters
Chapter One (1) :Gives a general background of the
whole research work, taking into account the statement
of problem, significance of the study ,the methodology
to ascertain all relevant information and the
organization of the study.
Chapter Two (2):Provides the literature review on life
Chapter Three(3):Will focus on the methodology to
be used in ascertaining all information for the study
,data analysis and interpretation will all be captured
under this chapter.
Chapter Four (4): This will comprise of the
interpretation of the analyzed data and its presentations
using tools for measurement such as the balanced
scorecard and the integrated approach.
Chapter Five (5): This will deliberate on the main
findings of the research work and its implications. The
necessary recommendations and conclusion of the
entire work will be captured.