Cllr. Eva Mappy-Morgan emphasizes the need for a robust regulatory framework and a National Insurance Commission in Liberia to enhance the insurance sector. She commends the Central Bank’s focus on reform while discussing historical challenges faced by local insurers. The Judge outlines the potential benefits of a well-regulated commission in protecting consumers and promoting market growth.
Cllr. Eva Mappy-Morgan, Chief Judge of the Commercial Court of Liberia and an insurance professional, has underscored the necessity for a robust regulatory framework for establishing a National Insurance Commission in Liberia. She avers that a well-documented standard, rigorous regulatory framework, and effective supervision are vital for a transformative shift in the nation’s insurance sector. These remarks were made during the Insurance Act Validation Workshop, held on March 5, 2025, by the Central Bank of Liberia and the Law Reform Commission.
Judge Mappy-Morgan applauded Central Bank Governor Henry F. Saamoi for prioritizing insurance reform, recognizing his efforts in implementing key regulatory changes. She praised his initiative in making insurance reorganization a central focus of his tenure, noting his proactive approach within his first 300 days in office. This commitment to reform is seen as a pivotal step towards revitalizing the industry.
Reflecting on historical context, Mappy-Morgan discussed the overwhelming dominance of foreign insurance companies in the 20th century while Liberian-owned entities faced challenges such as inadequate capital and technical expertise. Due to ineffective regulatory oversight, local companies struggled to compete against the well-resourced foreign firms, which significantly inhibited domestic participation within the insurance realm.
The civil conflict experienced in the 1990s undermined the insurance sector further; however, Judge Mappy-Morgan has observed a resurgence of Liberian-owned insurance businesses, enhanced consumer confidence, and increased competition in the market in recent years. She advocates for the creation of a National Insurance Commission to enforce sound regulation and supervision, ensuring fiscal and ethical compliance while promoting industry growth and stability.
A well-structured commission would not only protect consumer rights and prevent fraudulent activities but also facilitate the entry and innovation of emerging companies within the sector. This model, according to the judge, would attract local and international investments and thereby contribute to the growth of Liberia’s insurance market.
Judge Mappy-Morgan emphasized the core function of strong risk management practices within the commission. By demanding rigorous standards and scrutinizing the offerings of insurance companies, the commission would promote the resilience and solvency of insurers, ensuring they can meet policyholder obligations. Furthermore, aligning Liberia’s insurance regulations with international standards is essential for local companies to operate competitively in the global market.
Moreover, a transparent and accountable commission would enhance public trust, thereby encouraging broader engagement from Liberians in utilizing insurance products and services. Mappy-Morgan cited regional examples, such as Ghana’s National Insurance Commission and Nigeria’s National Insurance Commission, both of which have improved industry oversight and market confidence since their establishment.
Drawing from these successes, Judge Mappy-Morgan reiterated the importance of establishing Liberia’s National Insurance Commission for economic stability and growth. She also called for an urgent review and modernization of Liberia’s outdated Insurance Law of 1973 to better reflect contemporary industry needs.
A graduate of the West African Insurance Institute, Mappy-Morgan is dedicated to ensuring that Liberia’s regulations align with global best practices. She avowed her support for the formation of a National Insurance Commission, emphasizing the significant benefits for both the economy and the citizens.
Lastly, Judge Mappy-Morgan reinforced the Commercial Court’s commitment to swiftly adjudicating insurance disputes in accordance with its legal mandate. The court, since its inception in 2010, has focused on resolving commercial disputes expeditiously, particularly those involving insurance and reinsurance matters, with a promise to uphold this obligation.
In summary, Chief Judge Cllr. Eva Mappy-Morgan advocates for a robust regulatory framework and the establishment of a National Insurance Commission in Liberia to revitalize the insurance sector. She emphasizes consumer protection, effective regulation, and adherence to international standards, drawing on successful regional models for guidance. Moreover, her commitment to modernizing legislation and the swift adjudication of insurance matters demonstrates her dedication to fostering a stable and competitive insurance landscape in Liberia.
Original Source: www.liberianobserver.com
