Insurance Industry Can Drive National Development, Says Daniel

Mr. Fola Daniel
Former NAICOM Boss
The Nigerian Insurance industry has the potential  to drive national development  through freeing of government dwindling  resources usually deployed to mitigate losses to citizens arising from natural calamities.

This  view was expressed by the outgoing Commissioner for Insurance Mr Fola Daniel  at the maiden  Insurance Industry Mega Conference currently holding in Abuja.

Daniel who  delivered the keynote address at the conference which has the theme “Developing Insurance Business  for National Growth said for insurance industry to play the above role, it must build its financial and technical capacities to

take on large and specialist risks such as flood, drought,aviation,terrorism and other similar risks.
He also said  a developed insurance market will be a veritable source of employment  for the youths.


THISDAY recalls that since Nigeria occupied a place in the list of natural disaster prone countries,  federal government has been spending a lot on relief package  for the internally displaced persons quartered in different parts of the country.

Available reports said that federal government spent hundreds of millions of Naira in rehabilitating victims of 2012 flood and on victims of Gboko Haram insurgence.

But the insurance commissioner and the industry operators are saying that such expenses by government is avoidable if insurance is given its rightful  place in Nigerianeconomy.

According to the commissioner, the reason government is spending on the victims is because they don’t have insurance cover .

He added that if they had, immediately such disaster occurs, the insurance industry would take up the responsibility of indemnifying the victims and would have saved government the stress.

Daniel in a similar insurance forum recently called on government to reposition insurance by according recognition to the industry through insurance of its own assets to set pace for the citizens as well as in enforcing all the compulsory insurances on Nigerians.

At the mega conference, the outgoing commissioner  described insurance as one of the most  cost effective mechanisms for absorbing shocks and thus key to accelerating and sustaining economic growth.
He said the National Insurance Commission (NAICOM) has in the past few years pursued initiatives that would facilitate the deepening of insurance penetration in Nigeria as well as remove poor perception of the industry.

He said these guidelines and initiatives have engendered  interest  of foreign investors into the industry.

Also speaking at the event, Mr.  Bola Temowo, Chairman Insurance Industry Consultative Council, the organiser of the conference said the theme of the conference could not have been apt at anyotber time than now.

According to him, the theme provides the cues for rededicating all stakeholders to achieving the industry’s collective drive towards more effective performance and improved contribution to the growth of the Nigerian Gross Domestic Product, which  according to him is receiving the coordinated attention of the Industry.

The conference theme according to Temowo  provides emergence of new ideas to improve the relevance of the industry in all facets of the Nation’s economy.

Discussion of topical issues at the conference  according to him provides solution on issues  affecting the Insurance industry in its quest to achieve financial inclusion for all within the economy.