—Chief Judge of the Commercial Court Eva Mappy-Morgan asserts
Chief Judge of the Commercial Court of Liberia and insurance professional, Cllr. Eva Mappy-Morgan, has emphasized the need for a comprehensive regulatory framework to guide the establishment of a National Insurance Commission in Liberia.
She argued that a well-documented standard, robust regulatory regime, and effective supervision are critical to transforming the nation’s insurance industry.
Judge Mappy-Morgan made these remarks on Wednesday, March 5, 2025, at the opening of a three-day Insurance Act Validation Workshop, organized by the Central Bank of Liberia (CBL) in collaboration with the Law Reform Commission.
“A comprehensive, well-documented standard and a robust regime and regulatory framework must underpin our shared objective towards the establishment of an insurance commission necessary to transform Liberia’s insurance sector,” she stated.
She commended Central Bank Governor Henry F. Saamoi for making insurance reform a priority during his tenure, lauding his leadership in advancing key regulatory changes.
“I commend the Central Bank Executive Governor, the Honorable Henry F. Saamoi, for taking the proverbial bull by the horns—making insurance reorganization a seminal part of his less than 300 days in office,” Mappy-Morgan remarked.
Providing a historical perspective, Judge Mappy-Morgan highlighted the dominance of foreign insurance companies during the 20th century and the limited participation of Liberian-owned entities due to challenges such as lack of capital, technical expertise, and weak regulatory oversight.
She explained that during this period, Liberia’s insurance companies occupied a small portion of the industry and faced significant challenges in gaining ground.
According to her, these difficulties included limited capital, a lack of technical expertise, and ineffective regulatory oversight—factors that gave foreign companies, with their substantial resources and long-term experience, a clear advantage.
She noted that the Liberian civil conflict of the 1990s and early 2000s further weakened the sector. However, she acknowledged recent positive developments, including a resurgence of Liberian-owned insurance businesses, improved consumer confidence, and increased competition between local and foreign firms for policyholders.
Judge Mappy-Morgan argued that the creation of a National Insurance Commission is essential to ensuring effective regulation and supervision of the insurance industry.
She stressed that such a body would monitor both fiscal and ethical compliance, measure the outcomes of business conduct, and facilitate growth while maintaining industry stability.
She highlighted the importance of consumer protection, stating that a well-regulated insurance commission would safeguard the rights of policyholders, prevent fraudulent practices, and ensure that companies act responsibly in their dealings with the public.
According to her, a national insurance body would also foster market development by facilitating the growth of emerging companies, encouraging innovation, and introducing new products. This, she said, would attract both local and international investment and expand Liberia’s insurance market.
Judge Mappy-Morgan emphasized that strong risk management practices must be a core function of the commission. She argued that by enforcing robust standards and ensuring thorough scrutiny of companies’ products and services, the commission would enhance resilience, competence, and solvency, enabling insurers to fulfill their obligations to policyholders.
She further stressed the need to align Liberia’s insurance regulations with regional and international best practices, which would position local companies to integrate into the global financial system and gain a competitive edge.
Additionally, she asserted that a transparent and accountable insurance commission would promote public confidence, encouraging more Liberians to engage with the insurance market and utilize its products and services.
Judge Mappy-Morgan referenced successful regional models to support her call for reform. She cited Ghana’s National Insurance Commission (NIC), established in 2021, which replaced the 1989 insurance law. According to her, the NIC has been instrumental in improving industry oversight, market consistency, and public trust.
She also pointed to Nigeria’s National Insurance Commission (NAICOM), established in 1997, which replaced the Nigeria Insurance Supervisory Board. Since its creation, the Nigerian insurance sector has experienced improved risk-based supervision, sound fiscal administration, and greater compliance with legal and regulatory standards.
Drawing from these examples, she stressed that establishing a Liberian National Insurance Commission is vital for economic growth and market stability.
She urged stakeholders to take cues from successful regional and international practices to strengthen and sustain the sector.
Mappy-Morgan also called for a reexamination of Liberia’s outdated Insurance Law of 1973, which is part of Title VII of the Liberia Code of Laws Revised.
She argued that updating this legislation is crucial for creating a modern legal framework that reflects current industry realities.
As a graduate of the West African Insurance Institute, Mappy-Morgan expressed her commitment to ensuring that Liberia’s insurance regulations mirror regional and international best practices.
She pledged her support for the establishment of a National Insurance Commission, emphasizing the long-term benefits for the country’s economy and its citizens.
Judge Mappy-Morgan also reaffirmed the Commercial Court’s commitment to promptly adjudicating insurance disputes in line with its legal mandate.
Established in 2010, the Commercial Court has jurisdiction over insurance and reinsurance matters and is legally bound to promote the swift resolution of commercial disputes.
“The Commercial Court shall continue to adjudicate insurance, and reinsurance matters with the prompt determination required by law,” she concluded.
