The Nigerian Insurers Association (NIA) has urged insurance companies in the country to invest more in technology tools to boost insurance penetration and acceptance among Nigerians. The NIA made this call at the Insurance Meets Tech (IMT 2.0) conference with the theme: ‘Unlocking Policy and Tech Bottleneck Hindering Disruptive Insurance Penetration’.
Technology as a catalyst for insurance growth
The President of NIA, Olusegun Omosehin, said that despite the current inflation and inadequate infrastructure challenges in the country, insurers must embrace technology to drive growth. He said that with technology, insurance companies would be able to achieve over N1 trillion in gross premiums before the end of 2023 as they leverage technology to drive insurance product adoption and acceptability. He said that technology is a catalyst for insurance growth and innovation, especially in an era that is defined by rising technology advancements and digital disruptions. “We reaffirm our commitment to drive innovation for economic growth and secure the future of our businesses, and national assets,” he said.
Challenges and opportunities for insurance industry
The IMT 2.0 conference also featured panel discussions and presentations from experts and stakeholders in the insurance and technology sectors. Some of the topics discussed include:
- The role of regulation and policy in enabling disruptive insurance penetration
- The impact of technology on customer experience and retention
- The opportunities and challenges of digital distribution channels for insurance products
- The potential of data analytics and artificial intelligence for insurance innovation
- The best practices and lessons learned from successful insurance-tech collaborations
The conference also showcased some of the innovative solutions and platforms that are transforming the insurance industry in Nigeria, such as:
- [AutoGenius], a digital platform that provides car owners with access to multiple insurance quotes and policies from different insurers
- [Cassava], a micro-insurance platform that offers affordable and flexible insurance products for low-income earners
- [CompareIN], a comparison website that helps consumers find the best deals on insurance products from various providers
- [Curacel], a claims automation and fraud detection platform that helps insurers reduce operational costs and improve efficiency
- [Ensibuuko], a cloud-based software that enables community-based financial institutions to offer insurance services to their members
The future of insurance in Nigeria
The IMT 2.0 conference was organized by [InsurTech Africa], a platform that connects insurance innovators and entrepreneurs across Africa. The conference aimed to foster collaboration and knowledge sharing among the insurance and technology ecosystems in Nigeria, as well as to showcase the opportunities and potentials of the Nigerian insurance market.
According to InsurTech Africa, Nigeria has one of the lowest insurance penetration rates in Africa, at 0.3%, compared to the continental average of 2.8%. However, Nigeria also has one of the largest populations and economies in Africa, with over 200 million people and a GDP of over $400 billion. This means that there is a huge untapped market for insurance products and services in Nigeria, especially among the young, urban, and tech-savvy consumers.
The IMT 2.0 conference was a timely and relevant event that highlighted the need for innovation and transformation in the Nigerian insurance industry. By investing in technology tools and partnering with tech startups, insurers can leverage the power of digitalization to reach more customers, offer better products, improve customer satisfaction, reduce costs, increase efficiency, and ultimately grow their businesses.
