Thisday||The Nigerian insurance industry is growing on the average 40 per cent from less than three per cent in the last three years on the back of reforms by the National Insurance Commission (NAICOM), according to the commissioner for insurance, Mr Fola Daniel.
Daniel who spoke at a media chat in Lagos said the industry has the capacity to grow between 200 and 400 per cent if compulsory insurance and the ‘no premium no cover’ policy among other reforms are strictly adhered to.
Specifically, he mentioned that the commission initiated the Market Development and Restructuring Initiative (MDRI) in 2009 to among others, enforce compulsory insurances and eradicate fake insurances in the country. This initiative, according to Daniel, has been vigorously pursued by the Commission across the six geo-political zones of the country.
He attributed the positive developments in the industry to a series of new reforms embarked upon by NAICOM lately.
These reforms, according to him, include the introduction of risk-based supervision, migration to International Financial Reporting Standard (IFRS) from the Nigerian Generally Accepted Accounting Principles (NGAAP), and market conduct reforms.
Others include claims settlement reforms, and financial inclusion amongst others, all geared towards developing the industry and improving the general perception about insurance.