The National Insurance Commission (NAICOM) is embarking on a market development drive to achieve its ambitious target of NGN1.5tn ($3.6bn) in annual premium income for the insurance sector as well as 10% insurance penetration and 10% insurance density by 2023.
Mr Salami Rasaaq, NAICOM’s head of corporate communications and market development, revealed this at a media retreat organised by the commission with the theme, “National Insurance Commission Corporate Strategic Plan 2020 to 2023: Goals, Objectives and Key Deliverables”, reported This Day.
Currently, the insurance industry’s annual premium stands at NGN520bn, with a penetration rate of less than 1%, while insurance density is less than 3%.
The total number of individuals with insurance policies at the end of 2020 reached 1.03m while that of corporate organisations totaled 891,128, taking the total number of policyholders to 1.9m.
Mr Salami reveals that NAICOM will work around four strategic themes which are: increasing insurance awareness and education, partnership with stakeholders, focus on high-impact media productions, as well as the social/digital transformation of NAICOM.
He explains that through a partnership with the government and stakeholders, NAICOM would improve awareness at all levels of business whilst also promoting microinsurance and takaful and enforcing compulsory insurance across the country.
This latest strategy follows a failed development plan which had focussed on increasing premium income in the industry from NGN200bn to NGN1tn by 2009.