Insurance sector key to $1trn economy – NAICOM boss

The Commissioner for Insurance, Mr Olusegun Omosehin, has emphasised the importance of a financially stable insurance sector to achieve Nigeria’s goal of a one-trillion dollar economy by 2030.

Omosehin said this on Wednesday at the ninth annual conference of the Nigerian Association of Insurance and  Pension Editors (NAIPE) in Lagos.

The theme of the conference is: ‘Towards A One Trillion Dollar Economy: Roles of Insurance and Pension Sectors’.

Omosehin said that insurance industry was crucial in supporting businesses and driving the nation’s economic growth in achieving the target.

The commissioner, who is also the Chief Executive Officer of the National Insurance Commission (NAICOM), was represented by Mr Abba Inuwa, Head of Corporate Affairs, NAICOM.

He also said that adequate capitalisation, commensurate with insurers’ risk profiles, was vital for the insurance industry’s growth and development.

Omosehin noted that the desired and support for a one-trillion dollar economy could also be achieved by leveraging technology to enhance insurance accessibility.

He highlighted the need for the industry to adopt a consolidated approach and become a one-stop-shop for financial solutions.

Omosehin said that NAICOM remained committed to creating an enabling environment that supports the growth and stability of the insurance sector.

The commissioner noted that the insurance sector has the potential to unlock significant economic growth and contribute to job creation, risk management and infrastructure development.

According to him, to achieve these objectives, the commission has implemented various market developmental initiatives aimed at enhancing the insurance sector’s competitiveness and robustness.

He said: “In line with the insurance industry roadmap, we have identified five critical areas for immediate implementation.

“These encompass safeguarding policyholders’ interests, strengthening supervisory capabilities, improving industry safety and soundness, fostering innovation and sustainability, and enhancing insurance accessibility and penetration.

“With the current strategies in place, the Nigerian insurance market is poised for rapid and stable growth, characterised by significant improvements in operational statistics.

“A collaborative effort among sector stakeholders will facilitate seamless growth. Our collective focus must remain fixed on fulfilling obligations to policyholders.”

In his address, Mr Fola Daniel, Chairman of the occasion and former Commissioner for Insurance, said the theme of the conference was not just timely but essential, as the industry navigates the challenges and opportunities ahead.

Daniel, also the founding Coordinator of FBS Reinsurance Ltd., stated that the conference was important to the industry, adding that it calls for reflection, innovation and collaboration.

He said that NAIPE, in the past decade, had grown from an idea into a formidable platform that champions a vital role in the insurance and pension sectors.

According to him, the mission of NAIPE is to enhance the quality of information disseminated to the public and to foster a deeper understanding of the complexities within our industries.

The conference attracted stakeholders in pension and insurance sectors, as well as retirees and university students.