How Insurance Sector Can be Made More Attractive—Igbo

insurance brokers and loss adjusters

By Modupe Gbadeyanka

The chief executive of Stanbic IBTC Insurance Brokers Limited, Mr Anselem Igbo, has revealed what can be done to make the insurance sector more attractive in Nigeria.

Mr Igbo, speaking in a recent interview, admitted that the insurance landscape in the country has tremendously evolved and this growth can be attributed to certain policies introduced to the industry.

According to him, contributions from the government and governing bodies, which were positively welcomed by the masses, have turned out to be impressive over the years.

He noted that commendably, the rising rate of response of Nigerians to insurance and insurance policies is responsible for the increased level of awareness of insurance, especially in the corporate world, noting that many institutions now realise the need for insurance cover on their assets and personnel, as well as motor insurance and group life policies.

He said even in this pandemic and despite the lockdown, most insurance companies have performed creditably well by paying the genuine claims, once they are fully documented.

But he emphasised that “there is a continuous need to grow the market to attract the younger generation,” stressing that “with current digitalisation, the purchase of personal lines insurance will become seamless and more attractive to the younger, active and working population.”

When asked about digitalisation, Mr Igbo stated that it had positively impacted the insurance landscape, saying, “Insurance companies now have their motor insurance automated for third party motor insurance cover.”

“For comprehensive protection, there are still some processes before full confirmation of cover can be granted.

“It is certain that in the no-distant future, some class of motor insurance claims will be fully automated and claims paid seamlessly.

“Also, frontline insurance companies are putting in efforts towards digitalisation. They have launched one form of App or the other, to deepen digitalisation in the industry.

“Technology is expensive, no doubt, but if the sector can pool resources together and have shared services where necessary, the cost of digitalisation will reduce significantly,” he added.

Mr Igbo disclosed that the industry players can take charge to propel the industry by delivering efficient services and investing in technology to drive the business, without aimlessly waiting for the government to change the narrative.

“All that is needed from the government and the regulator will only be an enabling environment to amend the laws and give necessary approval for digitalisation. The COVID-19 experience has proven that innovation is greatly needed in the insurance industry,” the CEO affirmed.

The Stanbic IBTC Insurance Brokers chief also noted that the implementation of compulsory insurance by the National Insurance Commission (NAICOM) was a crucial driver for increased insurance acceptance in the country.

“First, the regulator is part of the federal government. Looking back at the last two decades, insurance has gained more acceptance as the efforts of NAICOM and other industry players have yielded some results.

“The industry is now able to attract professionals from all fields of life.

“Individuals of different professions like medical doctors, lawyers, engineers, accountants, among others, have become a part of the industry and they all contribute their different ideas on how to move the industry forward,” he said.

Modupe Gbadeyanka is a fast-rising journalist with Business Post Nigeria. Her passion for journalism is amazing. She is willing to learn more with a view to becoming one of the best pen-pushers in Nigeria. Her role models are the duo of CNN's Richard Quest and Christiane Amanpour.

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