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The Nigerian insurance industry recorded 10.24 per cent growth in Gross Premium Written, GPW, rising to N560 billion in 2021 from N508 billion recorded in 2020.
This is even as the sector paid N11.1 billion claims to insured that suffered various losses during the EndSARS protests.
Chairman, Nigeria Insurers Association, NIA, Mr. Ganiyu Musa, who disclosed this at the association’s Annual General Meeting in Lagos, noted that the sector achieved the feat despite the numerous challenges that confronted the sector in the period under review.
He stated: “One of the main objects of NIA is promotion of ethical conduct among members and this includes payment of all genuine claims. Pursuant to this, the association took very keen interest in developments around the #EndSars protests in October 2020, especially as they relate to payment of claims for insured losses. I am happy to report that as at December 2021, our member companies have paid over N11.1billion claims to insured. The payments cut across several classes of insurance business such as fire/burnt site, vandalization, burglary attack, as well as loss of cash.
“The Nigerian insurance industry was not insulated from developments in the general economic space and had its fair share of the challenges facing the larger financial market during the year under review. With epileptic power supply and an astronomic rise in the energy cost against the background of failing infrastructure, insurance companies had to contend with increasing cost of operations. These and many other factors including the multiplicity of taxes, contributed to affect the bottom line of insurance companies.
“Notwithstanding these challenges, the insurance industry continues to perform its statutory role of financial intermediation and business restoration. The volume of business written by member companies grew from N508 billion in 2020 to about N560 billion in 2021, representing an increase of 10 percent.”
