Home Business Nigeria Records N1.003 Trillion Growth in Insurance Sector for Q4, 2023

Nigeria Records N1.003 Trillion Growth in Insurance Sector for Q4, 2023

460
0

The National Insurance Commission NAICOM says the Nigerian Insurance industry recorded a milestone growth of N1.003 trillion in net premium, at the close of the fourth quarter of 2023.

According to the market performance report published by the statistics department of the Commission, this represents about 27 per cent growth compared to the N790billion recorded in 2022.

The report indicated that the insurance market recorded total assets of approximately N2.67 trillion and a capitalization of N851 billion in the year under review.

The report further highlighted that Non-Life business accounted for 61.3 per cent of all premiums, during the year while the Life segment contributed 38.7 per cent, valued at N368. billion.

The market also recorded a retention of about 87.7 per cent for the Life business, Just about 54 per cent for Non-Life white the aggregate market average retention stood at 66.7 per cent during the same period.

For major growth drivers in the non-life segment, Oil and Gas, as well as Fire insurances contributed 27.3 percent and 24.1 percent to the overall premiums, thereby displaying strength in times of economic uncertainties and volatility.

The market also exhibited a retention of about 87.7 per cent for the Life business, about 54 per cent for Non-Life, while the aggregate market average retention stood at 66.7 per cent during the same period during the period under review.

The report further highlights the industry’s commitment to regulatory compliance and claims settlement indicated in impressive 95 percent of net claims record in Life business.

The market average for claims settlement stood at about 71.4 percent of the N536.5 billion gross claims reported at the close of the fourth quarter in 2023.

Under the regulatory measure of “no-premium no-cover” policy implemented by the Commission, a decline in outstanding premiums with posting of 1.6 percent decrease was recorded.

The report indicates the expansion and growth of the Nigerian insurance industry despite economic challenges. This gives room for sector development and economic growth.

Previous articleBritish Council Partners NUC on Reform of Varsity Curriculum In Nigeria
Next articleCBN Sells Dollar to BDC Operations at N1,251 to $1

LEAVE A REPLY

Please enter your comment!
Please enter your name here