NAICOM Identifies Kano As Hub For Takaful Insurance In Nigeria

The National Insurance Commission (NAICOM) has identified Kano state, the nation’s centre of commerce, as a hub for Takaful Insurance otherwise known as Islamic Insurance in the country.

The Commissioner for Insurance and Chief Executive Officer of NAICOM, Mr. Olorundare Sunday Thomas, said this when he led a delegation on a visit to Kano state Governor Dr. Abdullahi Umar Ganduje recently.

He said Kano state with its large scale commercial activities stands the opportunity of leading by example and taking advantage of the huge potentials in Takaful and Microinsurance products introduced by the Commission in order to address religious beliefs and economic differences about conventional insurance.

“Our survey during the last sensitisation workshop in the state indicates that there is huge interest and demand for insurance products especially Takaful in the state, which will in no small way assist in the survival and sustainability of small and medium businesses in the state”, he said.

He noted that since his assumption of office as the Chief Executive Officer of the Commission, the apex insurance regulator has put so much effort into repositioning the Commission in order to improve and deepen insurance penetration across Nigeria with greater attention and concern to states with huge potentials but very low-level penetration.

He however told his host that the focus is majorly on pushing the industry to more strategic market development initiatives as against the traditional regulation and compliance.

“As Your Excellency is aware, one of the cardinal thrust that has been a forefront policy of the federal government is financial inclusion: assisting nano, micro, small and medium enterprises for a sustainable economic development and lifting families out of abject poverty”, he said.

He revealed that a major aspect of this drive is providing a safety net for the NMSMEs against unforeseen circumstances while securing millions of jobs and wealth created by the NMSMEs.

Mr Thomas said, “besides the need for the development and promotion of Takaful in Kano state, which indeed requires Your Excellency’s support, the Commission is also here to seek your buy-in on the implementation of compulsory insurances in Kano State and as well the need for the State Government to protect its assets and liabilities by adequately insuring them”.

Governor Ganduje, in his response, lauded the Commission on its effort to develop the insurance sector while urging the industry to do more in gaining public confidence and improving public perception of the industry.

The Governor also acceded to the requests of the Commission and directed that a strong committee be constituted immediately to look at the aspect of the implementation of compulsory insurances as well as working with the State House of Assembly in domesticating the insurance legislation in the State.