The growing presence of foreign insurers, rise in mergers and acquisitions will drive innovation and sanitise Nigeria’s Insurance Industry.
The Director General, Nigerian Insurance Association, Mr Olorundare Thomas, on Tuesday said that some insurance firms do not have the capacity to manage large risks leading to the use of foreign insurers.
He also explained that aside from being under-capitalised, domestic insurance companies lack the skills needed to manage specialised risks.
He believes that in spite of these challenges, the growth prospects remain significant and will be further boosted by government efforts to expand the sector’s capacity.
He also advised key players in the sector to create more awareness to the public and encourage Nigerians to see the several benefits that could be derived.
According to him, this will help improve the sector’s performance and overall contribution to economic growth.
