The National Insurance Commission (NAICOM) and the Chartered Insurance Institute of Nigeria (CIIN) have highlighted steps such as; risk-based capital approach, enhancement of investment in digitalcapabilities and automation, capacity development programmes, specific products development among others as principal strategies insurance operators need to adopt to increase sector growth.
The organisations spoke in Lagos on Wednesday during the 2022 Business Outlook Seminar organised by the CIIN, with the theme ‘Economic Policies of the Government in 2022: Challenges, Issues and Prospects.
The Commissioner for Insurance, Mr Sunday Thomas, who spoke on the topic ‘Strategies Aimed at Cushioning the Effects of the COVID-19 on the Operations of the Nigerian Insurance Industry and the Way Forward,’ said the NAICOM ensured increased visibility for the insurance sector.
He said the Commission has also continued to implement effective policyholder protection schemes, market development as well as strengthen regulatory oversight and risk management.
“The commission reviewed current policyholders’ protection schemes and improved use of the security fund for settlement of insolvency and distress; improved enforcement of market conduct rules; and monitored degree of customer satisfaction and enhance insurance awareness by policyholders in Nigeria,” Thomas said.
Going forward, the Commissioner stated that the insurance operators need to embrace ensured risk-based capital approach, enhanced investment in digital capabilities and automation, standardisation of reports and capacity development programmes, among others as the way forward to growing the industry.
Giving his welcome address earlier, the President/Chairman of Council, CIIN, Sir. (Dr.) Muftau Oyegunle, described the Business Outlook forum as an avenue where key players in the insurance industry and financial subsector of the economy converged to review the business environment in the country, for the immediate past year and strategise on the way forward for the insurance industry in the New Year.
He said the programme examined the national budget, reviewed the thrust of the fiscal and monetary policies of the government and estimated how these would influence the insurance industry, in particular, and the economy in general.
While making his presentation, the Managing Director/Chief Executive Officer, Dr Oladimeji Alo, said there was a huge prospect in the insurance industry that was yet untapped in the country.
According to him, this is one of the reasons why foreign investors are coming into the Nigerian insurance industry.
He said there was a need for insurance companies to increase awareness on claims paid by the industry, and attract the public with friendly retail insurance products.
For his part, the Group Chief Executive Officer, United Capital Plc, Peter Ashade, speaking on the topic, ‘Insurance Perspective of the Theme Paper’, implored operators to focus on oil sector stressing that the Petroleum Industry Act would create more opportunities for the insurance industry to harness.
He also urged them to increase their capacity on agricultural insurance as there are huge opportunities in the sector.
He called for proper management of data. “Note that the quality of your decision making is driven by the quality of your data,” Ashade stated.
1) Photo caption L-R: President NCRIB Barr. Rotimi Edu, CIIN Council Member, Mrs Adeyinka Adekoya, Commissioner for Insurance, Mr O.S Thomas, Group CEO, United Capital Plc, Mr Peter Ashade, Deputy President CIIN, Mr Edwin Igbiti, President CIIN, Sir (Dr.) Muftau Oyegunle, Council Member, Mrs Adetutu Arusiuka, Director-General, NIA, Mrs Yetunde Ilori, Council Member, Mr Gbenga Olawoyin, CEO Excel Professional Service, Dr. Oladimeji Alo, Director-General, CIIN, Mrs Abimbola Tiamiyu and the President of AIO and CEO Nem Insurance Plc, Mr Tope Smart at the Institute’s Business Outlook Seminar at Oriental Hotel, Lagos.
2) Photo Caption: L-R : Honourable Commissioner for Insurance, Mr O.S Thomas, Group CEO, United Capital Plc, Mr Peter Ashade (Guest speaker), President CIIN, Sir (Dr.) Muftau Oyegunle, and CEO Excel Professional Service, Dr. Oladimeji Alo at the Institute’s Business Outlook Seminar at Oriental Hotel, Lagos.