NAICOM Moves To Reposition Insurance Sector For $1 Trillion Economy
L-R: Deputy Commissioner, Technical, Dr. Usman Jankara; Commissioner for Insurance Olusegun Omosehin, and Deputy Commissioner, Finance/Admin Ekerete Ola Gam-Ikon at the event.
To align with the vision of the present administration of President Bola Tinubu, of expanding Nigeria’s economy to one trillion dollars by 2030, the National Insurance Commission (NAICOM), has moved to reposition the insurance industry to ensure effective participation and contribution to the success of the vision.
It should be recalled that President Tinubu has promised to expand Nigeria’s economy to a one trillion dollar economy to boost the nation’s status as the giant of Africa as one of his administration’s key priorities.
The Commissioner for Insurance/Chief Executive Officer, National Insurance Commission (NAICOM), Mr. Olusegun Omosehin disclosed this while interacting with insurance journalists in Lagos recently.
According to him, Mr. President sometimes ago declared that the Nigeria economy as it is currently does not inspire the kind of recognition we are seeking as a giant of Africa and that is true because if you look at the total Gross Domestic Product (GDP) of Nigeria, it can only be compared with a total revenue of an institution or a university in the US. So a one trillion Dollar economy is being projected for 2030.
He charged the sector’s operators to reposition themselves and be proactive by looking at those things they need to do not to be left behind, drawing their attention to the fact that other sectors are already taking proactive measures.
Omosehin who pledged the Commission’s commitment to reposition the industry for effectiveness and efficiency, noted that the insurance industry as a risk mitigator must be at the centre stage to protect all the entities and individuals against risks likely to crystalise from the economic activities leading to the attainment of the vision, while taking advantage of opportunities this will offer to grow the industry.
“As an industry, we have to be proactive. We need to begin to look at those things that we need to do not to be left behind. Other sectors are already taking proactive measures in this regard.
“We think as an industry we shouldn’t be left behind. So the financial services sector is therefore championing this and we think the insurance sector should be at the centre stage being the backbone to provide risk mitigation because all the entities in the activities of ensure the success of the vision need to be derisked and that duty of derisking falls squarely on our shoulders as insurers.
“We need to look at how we can begin to place ourselves in such a manner that we can manage and derisk the one trillion dollar economy that will involve so many elements in terms of our financial soundness, in terms of our readiness, in terms of our manpower needs in managing some of those risks.
“Often we have heard in some quarters whether or not we have the capacity to underwrite some classes of risks such as aviation. I think that is the question of perception and this is the time for us to position ourselves properly where we can be perceived differently. All these areas I think will be of concern and we are prioritising as a regulator to see how the sector is properly positioned.
