Insurance and technology experts and participants who convened at the Insurance September 2019 event recently held in Abuja, have called for the enforcement of digital insurance in Nigeria.
Speaking at the event which was themed ‘5G Insurance’, the convener, Ekerete Gam-Ikon, an insurance and entrepreneurship consultant said that the vision of the initiative which is to be the leading dialogue that educates risk takers and measures risk bearers towards improving their mutual experiences, is also focused on creating insurance awareness in Nigeria.
Gam-Ikon while challenging participants to consider the problems of the insurance sub-sector as opportunities and ultimately, view it as one that could provide solutions to some of our national issues, asserted that the team at Insurance September was confident that insurance can attain the tech-like 5G status if the industry stakeholders focused on gender-balance, geography, generation, government and growth.
Expressing their experiences and expectations, some of the participants stated that digital solutions, specifically, insurtech, is necessary for the survival and growth of the industry, so NAICOM should proactively consider developing guidelines that will enable the insurance industry in Nigeria connect with other economic sectors from the point of value.
They also expressed belief that the National Insurance Commission (NAICOM) can use the opportunity of the current recapitalization process to duly address the challenges of poor claims settlement, low product innovation and ineffective distribution channels in similar manner that the Central Bank of Nigeria (CBN) has done through agency banking and payment systems bank.
In addition, some of the participants suggested that more should be done to engage youths and attract their peers to insurance to fill the multi-generation gap within the insurance industry in Nigeria.
They also advocated that NAICOM should take unavoidable bold decisions to sanction operators that are failing to honour their obligations to policyholders and employees thereby eroding whatever value other leading insurers are adding; while increasing its visibility and online presence and communicate its actions especially via social media which has become the most active means of reaching the populace.
Responding to all the observations and expectations of participants, the Acting Commissioner for Insurance, National Insurance Commission (NAICOM), Sunday Thomas, represented by Ahmad Adamu, Deputy Director, Complaints Unit at the event, stated that NAICOM as a regulator, is always guided by the law in all its actions and reactions to issues.
He expressed understanding of the generational challenges but advised persons that were keen to see the adoption of digital solutions to rather approach insurance companies that will in turn apply to NAICOM for approval of their requests.
He assured the gathering that while NAICOM appreciated the speed associated with the younger generation, there was serious need for caution given the conservative nature of insurance and the ultimate need to protect policyholders.