The Management of the National Service Scheme (NSS), has reconsidered its decision to impose an insurance package on service personnel in the country, after it was sued by some aggrieved personnel.
It said the decision to make the policy optional for interested national service personnel was taken at an Emergency Executive Council Meeting of the National Service Personnel Association (NASPA) in Accra on Wednesday.
The statement signed by the Executive Director, Mustapha Ussif, said the management of the scheme has in the light of the decision suspended the mandatory GH¢15 deduction from the monthly allowance of service personnel.
Read the statement below:
The decision was taken at an Emergency Executive Council Meeting of the National Service Personnel Association (NASPA) held in Accra today, after broad consultations with major stakeholders on the policy, and how best it would serve the interest of national service personnel.
Management has therefore decided to suspend the mandatory monthly deductions of GH?15.00 from personnel allowances.
Management wishes to urge all national service personnel to remain calm as their concerns regarding the insurance policy are being addressed.
It is unclear what the new arrangement between the National Service Scheme and the service providers will be since the secretariat signed the agreement with the intention of serving all personnel in state institutions.
The management is also yet to make public procedures interested personnel can follow to apply and benefit from the insurance policy.
NSS personnel drag secretariat, executive director to court
Some disgruntled personnel last week, sued the National Service Scheme and its Executive Director, Mustapha Ussif, over the GH¢ 15 compulsory insurance charges.
The personnel say the deduction from their allowance is unlawful and unreasonable. That case is yet to be heard.
NSS personnel petition CHRAJ over compulsory insurance
Some National Service Personnel earlier in December petitioned the Commission on Human Rights and Administrative Justice (CHRAJ), over the mandatory insurance package introduced for them by the National Service Secretariat.
According to them, the imposition of the insurance package infringes on their basic human rights since the decisions taken by the National Service Personnel Association (NASPA), does not bind all service personnel.
Service personnel agreed to ‘compulsory’ insurance – NSS Boss
The National Service Scheme’s head, Mustapha Ussif, in the face of the resistance, repeatedly denied suggestions that the compulsory insurance package meant for all service personnel in the country is being imposed on the personnel.
He insisted that the personnel backed the insurance package, and even pushed the management of the Scheme to implement it.
He said the National Service Personnel Association of Ghana (NASPA), the group which represents service personnel across the country, decided unanimously at their Congress to back the policy.
The insurance package
The NSS partnered with MTN and Glico Life Insurance, earlier this week, to launch the life insurance cover for the over 90,000 personnel.
This compulsory insurance package spearheaded by various insurance companies is expected to pay claims to service personnel who get involved in accidents in their line of duty.
The claims vary from GHc 15,000 in cases of death or incapacitation and GHS3,000 for cases of disability. As part of the insurance package, National Service personnel are entitled to a GHc 500 loan which is payable within six months.
NSS insurance meant to reward NPP financier – Kpessah Whyte
A former Executive Director of the National Service Scheme (NSS), Dr. Michael Kpessah-Whyte, had alleged that the compulsory insurance package is a venture to pay back a financier of the governing New Patriotic Party’s (NPP) election campaign.
According to him, the insurance scheme may have been put together to reward the owner of a known insurance company, who supported the NPP’s campaign with GH¢1 million.
He is thus of the view that the policy is not in the interest of National Service persons, and that it constitutes “daylight robbery.”
NSS insurance scheme not a reward from NPP – GLICO
However, GLICO Life has denied allegations that its engagement with the NSS to provide an insurance package for National Service personnel, is a reward for the company because the owner was a financier of the governing New Patriotic Party (NPP).
The Managing Director of GLICO Life, Forkuo Kyei, in a statement to citifmonline.com said the allegations are unfounded as GLICO Life is part of five other companies offering the insurance package to the service personnel.