NAICOM Sets 7-point Strategic Vision to Transform insurance Sector
The Commissioner for Insurance, Mr Olorundare Sunday Thomas, has unveiled a 7 – point vision/ agenda for the next decade (2024 to 2033), in its quest to position insurance business in Nigeria to stand competitively in the global financial market, as it also plans to launch Guidance Note for Insurances of Government Assets and Liabilities.
The Commissioner who made the presentation in Abuja, at the 2023 National Insurance Conference, with the theme, “Redefining Safety – Insurance Solutions for Public Buildings and Buildings under Construction” called on his team at NAICOM, operators, industry watchers, insurance enthusiasts, the media and other stakeholders in the entire insurance value chain to join hands in the implementation of the seven strategic pillars agenda.
Thomas said “Over the next decade (2024-2033), the Insurance industry will seek to continue its transformation journey along the following 7- strategic thrusts with the objective of achieving the corresponding goals: To transform the regulatory environment to sustain the industry growth; to transition to risk-based capital model; to promote insurance awareness and adoption; to broaden insurance product offerings and improve effectiveness of distribution channels.
“Others are to enhance digitalisation of the insurance industry; to deepen the industry’s talent pool and capabilities, and support Nigeria’s economic transformation and sustainability agenda.”
He pledged that the Commission would leave no stone unturned in ensuring that it created the needed platforms to boost awareness for the public about compulsory insurances.
“We shall create platforms to strengthen collaboration with relevant government and non-government agencies and other stakeholders to ensure that enforcement of all classes of compulsory insurances across the country are carried effectively.
“All efforts are geared toward achieving the objective of incentivizing the law enforcement agencies, State Governments, relevant professional bodies and all other stakeholders,” he added.
NAICOM boss called for collaboration among all stakeholders to facilitate improvement in National Safety Standards, while restating the Commission’s resilience, focused and perseverance in implementing initiatives that will foster development of the Nigerian insurance industry and align its fortune with that of the nation as the Africa largest economy.
Thomas reassured the Nigerians that notwithstanding challenges facing the industry viz: talent gap, low public awareness, insurance affordability, dearth of trust and confidence in insurers, cultural and religious bias, inadequate distribution channels, low enforcement of insurance, among others, he would continue to push for growth and sustain same.
“In terms of performance, the industry premium income between 2014 and 2022 grew at an average of 13.6 per cent; from a premium income of N282billion to N726.2billion. The total assets of the sector also grew at an average of 12 per cent for the same period; from an asset base of N827.5billion in 2014 to N2.33trillion in 2022,” he revealed.
