The insurance industry stands as a pivotal force in global economic development, offering individuals and businesses the means to navigate uncertainties and foster stability. In Nigeria, the sector has historically grappled with challenges such as low public trust, limited awareness, and complex regulatory frameworks, leading to underdevelopment and low penetration rates.
However, 2024 marked a significant turnaround. The industry demonstrated remarkable resilience and growth, with Gross Premium Written (GPW) reaching ₦1.173 trillion in the third quarter, a 44.3% increase from the previous quarter and a 60.9% year-on-year rise. This growth outpaced the national GDP growth of 3.5% during the same period, underscoring the sector’s robust performance.
This article delves into the evolving landscape of Nigeria’s insurance industry, examining its structure, key players, and growth opportunities. It also provides a comparative analysis with other African markets, evaluates recent legal and regulatory reforms, the recapitalisation drive, including the 2024 Nigerian Insurance Industry Reform Bill and explores the challenges and strategic considerations for stakeholders aiming to sustain and enhance this growth trajectory.