The Ministry of Economy and Finance is extending the legal cession to microinsurance companies. A decree, published in the Official Gazette on 1 November 2026, requires the companies to cede a portion of their premiums or contributions to a Gabonese reinsurance company designated by the Minister.
Under the decree, microinsurance companies will start ceding business in the third fiscal year following the granting of authorisation. This allows them two full fiscal years to establish their business.
The cession rates are 2% of premiums issued for non-life microinsurance (excluding health insurance) and 1% for life microinsurance (excluding capitalisation). The reinsurer will pay the ceding companies a commission equal to the rates capped by ministerial decree, plus 3%.
Microinsurers must also set aside cash deposits in the fourth quarter equivalent to 2% (non-life) or 1% (life) of their reserves for outstanding risks, as well as a similar contribution to their reserves for claims payable. These sums are to be returned one year later, earning 1% interest.
This compulsory cession for microinsurers complements a 2011 ordinance which established the legal cession for traditional insurance companies. The management of this mechanism has been entrusted to the Gabonese Commercial Reinsurance Company (SCG-Re) since December 2011.
In Gabon, the insurance market generates just over FCFA100bn ($169m) in annual premiums across all lines of business, according to data published by the Federation of African National Law Insurance Companies. The share of microinsurance remains marginal, driven by a few initiatives related to mobile money, consumer credit, and funeral products. The introduction of the cession in this context signals the authorities' expectations of the growth of this segment.