The National Insurance Commission’s (NAICOM) push to digitize insurance services through Insurtech could bring more than 200 million Nigerians into the insurance ecosystem by the year 2030.

This is according to the Founder and Executive Vice Chairman of Baywood Group, Emperor Chris Baywood Ibe.

The projection follows NAICOM’s issuance of the country’s first Partnering Insurtech licence to CBI Partnering Insurtech Limited, a subsidiary of Baywood Group, under its newly revised framework for technology-driven insurance services.

Briefing newsmen in Lagos ahead of the commencement of operations, Ibe likened the initiative’s transformative potential to the role fintech played in revolutionizing banking and financial inclusion in Nigeria, stressing that the next few years will mark a transformative period for Nigeria’s insurance industry.

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According to him, the initiative will expand access to insurance products, improve claims processing, and accelerate digital adoption across underserved segments of the population by removing longstanding barriers to insurance penetration, simplifying policy acquisition, enhancing customer experience through digital channels, and improving trust through more efficient claims management.

What they are saying

Ibe, who doubles as the Chairman of newly licensed CBI Partnering Insurtech Limited, said insurance penetration in Nigeria has remained low largely because of accessibility challenges, product complexity, and concerns over claims settlement.

  • He noted that trust in insurance is built primarily through efficient claims processing rather than policy purchases.
  • “The true test of insurance is not when a policy is purchased. The true test is when a claim is made. People trust insurance when claims are processed quickly, transparently, and seamlessly.” 
  • “CBI Partnering Insurtech will operate as an insurance marketplace rather than an insurance underwriter, providing digital infrastructure that allows users to compare, purchase, manage, and initiate claims for insurance products through web and mobile channels.” 
  • “The platform is designed to support insurers and other industry participants through application programming interfaces (APIs), digital onboarding tools, claims support systems, and customer engagement features powered by artificial intelligence.” 

Ibe added that the platform will enable insurance transactions from any location, including for Nigerians in the diaspora seeking coverage for assets and interests within the country.

More insights: 

CBI Partnering Insurtech said the newly obtained licence strengthens its capacity to support efforts aimed at deepening insurance penetration across Nigeria’s population of over 200 million people.

  • The operators are to collaborate with insurers, brokers, HMOs, fintechs, and software developers to create a broader insurance ecosystem that improves access to protection products while reducing friction in policy acquisition and claims processing.
  • The company plans to support the development and distribution of micro-insurance products targeted at retail customers and underserved segments.
  • Multiple access channels, including mobile applications and USSD solutions, will be deployed to reach customers in rural and underserved communities.
  • The platform has invested in cloud-based infrastructure, API integrations, and digital payment capabilities to support insurers seeking to digitise their operations.
  • Customer feedback and rating mechanisms will also be incorporated to help users evaluate insurance providers based on service quality and claims experiences.

Management said technology will play a critical role in supporting government initiatives aimed at expanding insurance coverage across the country.

What you should know: 

NAICOM recently rolled out new regulatory framework for Insurtech firms to accelerate digital innovation, and granted its first Insurtech licence to CBI Partnering Insurtech Limited, as a Insurtech operator under the regulator’s revised framework for technology-driven insurance services.

  • The licence marks a significant milestone in the commission’s efforts to modernise insurance delivery and improve market penetration through digital innovation.
  • Partnering Insurtech operators are not permitted to underwrite risks or settle claims directly.
  • Their role is to serve as technology enablers and marketplaces connecting customers with licensed insurance providers.
  • The platforms are expected to support policy discovery, purchase, administration, and claims initiation through digital channels.
  • Operators are also expected to collaborate with insurers and brokers to promote wider adoption of insurance products among retail and underserved customers.

Nigeria remains one of Africa’s least insured markets, with industry stakeholders increasingly looking to digital platforms and micro-insurance solutions as key tools for driving insurance penetration and advancing financial inclusion.