Stakeholders in Nigeria’s insurance industry are calling for urgent technology-driven solutions to expand the sector and strengthen its ability to withstand growing economic and environmental challenges. This message dominated discussions at the 25th Adetunji Ogunkanmi Memorial Lecture, themed “Beyond Insurance: Building Resilience, Health, and Legacy,” where experts highlighted the need for innovation to boost low insurance penetration across the country.
Speaking at the event, the Managing Director of the Nigeria Liability Insurance Pool, Mrs Adeyinka Adekoya, criticised the sector’s continued dependence on corporate clients while neglecting everyday Nigerians. She described resilience as the bedrock of insurance, noting that the industry is failing to meet the needs of the retail market. According to her, insurers must redesign their products for ordinary citizens if the benefits of insurance are to be widely felt.
Adekoya stressed that digitalisation is essential for reaching millions of Nigerians who remain outside the insurance net. She argued that without technology, insurers cannot penetrate remote communities or compete effectively with fintechs that have already mastered grassroots engagement. She further noted that with Nigeria’s population exceeding 200 million, the current three per cent insurance penetration rate is far below the country’s potential, recommending a target of at least 10 to 15 per cent.
The insurance executive also highlighted the opportunities provided by the new Nigerian Insurance Act, urging operators to make policies not just compulsory but attractive enough for voluntary uptake. She pointed to modern platforms that allow customers to purchase insurance from their homes as a step in the right direction but insisted that the industry must go “beyond even that” to achieve meaningful growth.
Also speaking at the lecture, the MD/CEO of Cornerstone Insurance Plc, Mr Stephen Alangbo, echoed the need for resilience in the face of Nigeria’s mounting risks—from climate change to political instability. He emphasised the importance of health, security, and legacy, urging Nigerians to consider the long-term protection insurance provides. Alangbo expressed optimism about the sector’s future, predicting that Nigeria could soon see stronger insurance-owned banks, similar to models in South Africa and Western nations, as regulatory reforms continue to reshape the industry.
source: punch