FG Makes Case For Policyholders, Calls For Deep Insurance Penetration In Africa

By LOVETH AZODO, Lagos

The Minister of Finance, Budget and National Planning, Zainab Ahmed, has called for deepening of insurance penetration in the African Market to promote the benefits of policyholders and other stakeholders.

She made the call while delivering a keynote address at the on-going West African Insurance Companies Association (WAICA) Educational Conference 2023 and celebration of its 50th Anniversary with theme: “Re-Positioning the Insurance Industry in West Africa for Competitiveness” in Lagos.

According to the minister, in order to ensure deep insurance penetration and huge contributions to Africa financial growth, efficient, fair, safe and stable insurance market in the West African sub region must be promoted for the benefit of the policyholders and other stakeholders.

“Insurance in the whole of Africa has been characterized by low penetration and poor contribution to most African countries financial growth.”

“As an optimist, we are encouraged to believe in a new dawn, leveraging technological innovations, and a positive paradigm shift focused and poised to meet the anticipated surge in the demand and untapped side,” she said.

She urged the Industry Supervisors to ensure consistent upgrade in adopting of technology to mitigate financial and systemic stability concerns arising from the insurance sector as they emerge.

“The insurance industry, like other components of the financial system, is changing in response to a wide range of global social and economic forces. In particular, insurance and insurance-linked financial activities are increasingly crossing national and sectorial boundaries. Consequently, it has become imperative for the Insurance supervisory systems and practices to continually upgrade in order to cope with these developments to mitigate possible financial and systemic stability concerns arising from the insurance sector as they emerge,” she said.

Speaking on the theme for the three-day conference, The past Chairman of the Nigerian Insurers Association and Group Managing Director of Consolidated Hallmark Insurance Plc, Mr. Eddie Efekoha who was inaugurated as the president of WAICA for the next one year stated that the theme aptly captures thoughts and expectations of stakeholders while the resource persons have been carefully selected to address the issue in a manner that presents all shades and perspectives.

“As you all know, WAICA is the umbrella Association of insurance, reinsurance, and insurance broking companies in the West Africa and over the years, WAICA has provided the platform for us to enrich our knowledge of insurance, share business information and network as insurance players in the sub region,” he explained.

Also speaking, Chairman, Nigerian Insurers Association, Olusegun Omosehin, during his goodwill message added that the theme is timely and relevant.
According to him, It underscores the need for the industry to embrace and drive growth and innovation of the insurance sector in Africa.

“This is a significant occasion for our industry and our region, as it provides a vital platform for us to come together, share experiences, and chart a course for the future,’ he said.