Tony Elumelu, chairman of Heirs Holdings, has stated that retail insurance is the way of the future in Nigeria. On Thursday, September 29, he spoke at an event commemorating the 60th anniversary of the Nigerian Council of Registered Insurance Brokers (NCRIB) in Lagos.
Elumelu urged stakeholders to provide simple and smart insurance to Nigerians, especially with the country’s poverty gap widening.
He says;
It is high time the brokers community began to shift focus to retail because this is where the future of insurance lies in Nigeria. Brokers have the capacity to lead in this area.
Ladies and gentlemen, innovation and disruptive practices cannot occur if we do not broaden our thinking
Trying to make profits from existing lines is not going to deepen insurance penetration, rather we must look at the blue ocean opportunities.
In Nigeria, Elumelu emphasized the importance of insurance. Collaboration with non-industry practitioners, he claims, will aid in meeting objectives.
According to him, insurance protects families, businesses, and assets from hazards and losses. As a result, the economy is only as advanced as its insurance sector.
Elumelu stated that in order to achieve widespread retail insurance in Nigeria, there must be adequate awareness that showcases the value of insurance to the public, promoting participation, particularly in the retail space.
He urged stakeholders to close the insurance knowledge gap in order to make insurance more appealing to Nigerians.
What NCRIB needs to focus on
While commending the NCRIB for its massive contributions to the growth of corporate insurance in the country, Elumelu said the body needs to do more work in the following areas;
NCRIB needs to advocate for pro-insurance laws, corporate governance, excellent service, and innovation for the benefit of Nigerians, especially future generations.
NCRIB should work on the recapitalization of the brokerage industry in Nigeria. Elumelu recommends a minimum of N50 million as a capital base.
NCRIB should lead the war against unethical practices in the industry, like premium rate cutting, delayed premium remittance, unremitted premium, overloading of premium, returned premium, fake documents, fraudulent claims, collusion to defraud, mis-spelling, unhealthy competition, misrepresentations, manipulation of policy conditions, self-enrichment methods disguised as marketing expenses, etc.
NCRIB needs to work towards positioning its members properly for digital integration, mediating between the insuring public and the underwriters digitally.
In conclusion, Elumelu discussed the urgency to develop the next generation of talent to serve the Nigerian insurance industry. He advised the broker community to rally and become the hub for the education and training of youths to get qualified talent for the next industry phase.
In those days when I was in university, what drove me to want to join banking? It was the profile of bankers, sharp suits, nice cars.
It’s funny now that I think about it, but little things on how the people that worked in banking looked made me aspire to the banking profession.
We need to raise the profile of our insurance professionals, make it attractive for the younger generation,” he says.
