The National Insurance Commission (NIC) has proposed allowing informal-sector workers to pay insurance premiums weekly through mobile money as part of efforts to make insurance more accessible and affordable.

The recommendation is contained in the NIC-YEA Insurance Awareness and Risk Perception Report, which examined the risks facing informal businesses and how much workers are willing to pay to protect their livelihoods.

The report also recommends simplifying claims processes and issuing insurance policies digitally to encourage more informal-sector workers to take up insurance coverage.

According to the findings, respondents were willing to pay a median of GH¢20 a week for insurance, with half of the amounts stated falling between GH¢10 and GH¢50.

The report suggests that insurers could use these findings to develop products that reflect the financial circumstances of traders, drivers, artisans, store owners and young entrepreneurs.

Market traders recorded a median willingness to pay of GH¢25 a week, while drivers were willing to pay a median of GH¢30.

Artisans recorded a median of GH¢20, matching the national figure, while store owners and youth entrepreneurs indicated a lower median of GH¢15 weekly.

The NIC proposed three pricing levels for insurance products targeting informal businesses. Basic coverage would cost between GH¢10 and GH¢15 a week, standard packages between GH¢20 and GH¢30, and comprehensive cover between GH¢40 and GH¢60.

The recommendations come as the survey identifies several risks threatening informal-sector businesses, with fire emerging as the most frequently reported concern.

Some 41% of respondents, equivalent to 10,850 people, cited fire as a business risk. Theft and robbery followed at 36%, while illness accounted for 34%.

These risks can leave traders and other informal workers with damaged stock, interrupted operations and reduced income, making access to suitable insurance an important consideration for business continuity.

The report also found differences in willingness to pay across regions. Respondents in Ashanti, Greater Accra and Bono recorded a median of GH¢30 a week, compared with GH¢10 among those in the Northern and Volta regions.

The NIC's proposed measures are intended to address some of the practical barriers that may prevent informal-sector workers from accessing insurance. Weekly mobile money payments could allow customers to pay smaller amounts more frequently, while digital policies and simpler claims procedures could make insurance easier to access and use.

However, the report cautions that stated willingness to pay does not necessarily translate into actual purchases. Insurers would therefore need to offer affordable premiums, communicate policy terms clearly and settle claims reliably to build confidence and encourage sustained uptake.

The study was conducted by 218 Youth Employment Agency graduates, who collected information from 26,493 people across 10 regions between January and March.