Nigeria’s insurance industry’s total assets hit N2.67tn

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Nigeria’s insurance industry recorded a total asset value of N2.67tn at the end of 2023 financial period.

Figures obtained by Daily Economy from the National Insurance Commission (NAICOM) on its ‘Directorate of Research, Statistics & Publications Q4, 2023’ report revealed.

According to NAICOM’ statistics department, the sector recorded a capitalization of N851bn in the period under review.

“The insurance industry of Nigeria has sustained its progressive trend of positive market performance at the close of 2023 fourth quarter, recording a milestone growth to close at N1.003tn, representing about 27 per cent growth compared to the N790bn recorded in 2022,”the report said.

NAICOM added that the non-life business accounted for 61.3 per cent of all premiums written during the year, while the life segment contributed 38.7 per cent, valued at N388.1bn.

The market also recorded a retention of about 87.7 per cent for the life business, just about 54 per cent for non-life, while the aggregate market average retention stood at 66.7 per cent during the same period.

Major growth drivers in the non-life segment of the market were Oil & Gas and Fire Insurances, contributing 27.3 per cent and 24.1 per cent respectively.

In a direct reflection to the ongoing regulatory measures regarding claims settlement, the life business recorded about 95 per cent of net claims to the total recorded claims during the year, while the market average stood at about 71.4 per cent of the N536.5bn gross claims reported at the close of fourth quarter, 2023.

The report said that in a direct reflection to the “no-premium no-cover” policy of the Commission, the
outstanding premium continued to decline, posting a 1.6 per cent as outstanding of all the premiums generated in the market during the period.