– Law Reform Commission Chair asserts
The Chairman of the Law Reform Commission of Liberia, Cllr. Boakai Kanneh, has called on stakeholders in the insurance sector to actively contribute to the ongoing validation of the draft Insurance Commission Law, emphasizing that their input is crucial to creating a comprehensive and effective regulatory framework.
Speaking recently during the opening of the validation workshop in Monrovia, Cllr. Kanneh stressed the importance of collaboration in shaping laws that will regulate and strengthen Liberia’s insurance industry.
“I am very certain that there is nobody in this room who will downplay the significance of insurance in the economy of any country, and for that purpose, the sector has to be regulated,” he asserted. “This validation provides an opportunity for stakeholders to make their input into the draft law to ensure it reflects the realities and needs of the sector.”
He explained that the validation process is not just a formality but a legal requirement under Liberia’s national law reform policy.
According to Cllr. Kanneh, significant legislation—such as the proposed Insurance Commission Law—must undergo a thorough review involving sector stakeholders before being submitted to the Legislature and ultimately the President for approval.
“Consistent with the national law reform policy, it is required that before any significant legislation is presented to the Legislature and the President, there must be an exercise like this,” he explained. “It allows for the acceptability of the law, minimizes jurisdictional conflicts, and ensures the efficient running of the institution.”
Cllr. Kanneh acknowledged the complexity of the draft law, which he described as “voluminous,” and outlined the approach adopted for the validation exercise. Rather than a line-by-line review, the document is being divided into sections, with presenters highlighting key areas for feedback.
“Ordinarily, this exercise would require us to project the document and review it word for word, because in law, every word and paragraph is important,” he noted. “However, given the detailed nature of this draft, we have chosen to compartmentalize the document into sections. Presenters will discuss each part, and the Secretariat will capture all comments and observations for inclusion in the final draft.”
He reassured stakeholders of his commitment to the process, pledging to remain actively involved throughout the exercise to ensure that all voices are heard and incorporated.
“I will be very participatory and remain committed for the next two or three days as we go through this exercise,” he said. “This is an essential step as we work to grow our economy—insurance is a key sector that requires effective regulation to thrive.”
Cllr. Kanneh warned that without a strong regulatory framework, Liberia’s insurance sector remains vulnerable and exposed to irregularities. He emphasized that the Law Reform Commission is determined to advance the draft law through the necessary legal channels to establish a functional and efficient Insurance Commission.
“As it stands, the insurance sector is vulnerable without a proper regulatory authority. This is why the Law Reform Commission is on board—to ensure that we draft and advance this law to the President and the Legislature, ultimately establishing a vibrant Insurance Commission for Liberia,” he declared.
He concluded by encouraging all participants to engage actively and share their insights, stressing that the collective input would be vital to crafting a law that meets the needs of the industry and supports Liberia’s broader economic development goals.
“We welcome all of you to this important exercise and look forward to a productive discussion that will help shape the future of insurance regulation in Liberia,” he concluded.
Also speaking, the President of the Liberia Insurance Association (LIA), Mr. S. Ignatius Satiah, called on stakeholders to engage constructively in shaping the future of Liberia’s insurance industry, emphasizing that their contributions are vital to fostering growth, stability, and transparency within the sector.
Satiah expressed gratitude to the Central Bank of Liberia (CBL) and the Law Reform Commission for leading the initiative, describing it as a “pivotal step in the ongoing transition of the insurance department.”
“On behalf of the Liberia Insurance Association, the national body responsible for insurance affairs in Liberia, I extend my sincere thanks and appreciation to the Central Bank of Liberia and the Law Reform Commission for spearheading this vital initiative,” he stated. “This workshop marks a crucial dialogue on shaping the future of Liberia’s insurance industry.”
Satiah highlighted the importance of the deliberations over the next few days, noting that they would play a central role in crafting a regulatory framework that meets international standards while addressing the unique needs of Liberia’s market.
“The deliberations during this workshop will be instrumental in shaping the proposed Insurance Commission Act,” he explained. “This legislation will define the regulatory landscape and ensure that the new framework fosters growth, stability, and transparency within the insurance sector.”
He underscored the broader impact of the reforms, stressing that a well-regulated insurance industry is not only beneficial to insurers but also enhances consumer confidence and financial inclusion across Liberia.
“Our contributions will not only impact insurers but also enhance consumer confidence and financial inclusion across the country,” Mr. Satiah emphasized.
Referencing the National Legislation on the CBA and the Master and Budget Study Act of 2020, he pointed out that the LIA has taken significant steps toward advancing the insurance industry. He urged all participants to bring open minds to the discussion, noting that meaningful collaboration is essential to establishing a robust and effective regulatory framework.
“One writer said that minds are like parishes—they function only when opened,” he remarked. “Today, I ask that we keep an open mind as we move toward building a stronger and more resilient insurance sector.”
Satiah also reaffirmed LIA’s commitment to working closely with regulatory bodies and other stakeholders to ensure that the final law reflects both international best practices and Liberia’s specific realities.
“Together, we can lay the foundation for a stronger, more resilient insurance industry that meets international best practices while addressing the unique realities of our market,” he said.
Concluding his remarks, Satiah expressed optimism for a successful outcome, encouraging all participants to actively engage and collaborate toward a shared vision.
“I urge all participants to engage constructively, share insights, and collaborate toward a robust and effective regulatory framework,” he stated. “I look forward to a fruitful and productive discussion and a successful year ahead.”
The validation exercise, brought together key stakeholders, including legal experts, industry leaders, and policymakers, to refine the draft law and ensure it addresses the regulatory gaps in Liberia’s insurance sector.
