Finding an all inclusive roadmap towards harnessing industry growth potential
by Modestus Anaesoronye
February 21, 2018 | 1:25 am| | | Start Conversation
The National Insurance Commission (NAICOM) is seeking an all inclusive road map involving all operators, which will enable the industry harness available growth potentials.
According to the Commission, the industry has a lot of potentials, which will remain only in imaginations if nothing is done as an industry to take advantage of them.
Mohammed Kari, commissioner for Insurance/CEO, NAICOM made the remark at the First Annual Insurers’ Committee Retreat held in Abeokuta, Ogun State, with the theme ‘“Repositioning the insurance industry in Nigeria for self-actualization and growth”.
Kari said the meeting was intended to go down in history as the forum where the Nigerian insurance sector got its groove back. “I am quite optimistic that we shall evolve a workable, achievable and of course, practicable roadmap capable of elevating the status of the industry far above what currently prevails.”
“As an industry, we have come short in contributing our expected share to national development and other expectations like evolving financial inclusion to financial services deprived part of the Nigerian population.”
I am pleased to see the number of Chief Executives in attendance today, as it demonstrates the level of importance we attach towards our continued and combined efforts to reposition the Nigerian Insurance Industry. This retreat will go a very long way in redefining the future of insurance and reposition it for self-actualization in terms of growth and development. I urge you to relax and make yourselves comfortable in the discussions to analyze and address issues hindering the growth of our sector.
“In the last few years, the insurance industry has witnessed a series of changes owing to the new reforms embarked upon by NAICOM. These reforms include financial reporting reforms, No Premium No Cover, Corporate Governance Code, Risk Based Supervision, Information and Communication Technology advancement, Financial Inclusion, Claims Settlement, Market Conduct, Expansion of Distribution Channels, etc all aimed at building confidence, trust and enhancing our market value. It is pertinent to note that these changes are imperatives and have arguably had a considerable impact on efficiency, market structure and performance in the insurance industry.”
According to him, these reforms will not stop but continue. “We shall continue to introduce new reforms and initiatives in line with international best practices in our march towards achieving our full potentials. As we all already know, insurance in Nigeria has under-performed the banking sector and even the recently established pensions sector. For us as the industry regulator and supervisor, we have chosen to elevate the regulatory ladder. We cannot therefore over emphasize the paramount importance for us to fashion a development plan for the repositioning of the sector.
We believe that once we can successfully navigate this corner, we could be on our way to entrenching a financially solid, vibrant, viable and active insurance sector that would bring about not only an increase in penetration but the industry’s contribution to GDP, accumulation of long-term funds for infrastructural financing, job creation, and an improved standard of living, Kari stated.
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