Thriving Growth Marks Nigeria’s Insurance Sector in Q3, 2023
By Patience Ikpeme
The latest Nigeria Insurance Market Q3, 2023 Report, released by the National Insurance Commission (NAICOM), reveals a flourishing phase for the country’s insurance landscape, with a staggering Gross Premium Written of N729.1 billion.
This report illustrates an impressive trajectory, with key areas driving substantial growth. In the non-life sector, Oil and Gas recorded a commendable 28.9% surge, while Fire and Motor sectors followed suit with 23.6% and 18.1% increases, respectively. Meanwhile, within the Life segment, Individual Life displayed a remarkable growth of 36.4%, and Group Life saw a notable rise of 34.5%.
The industry’s responsiveness shines through the comportment of insurance claims, showcasing a Total Claims to Total Premium ratio of 50.1%. Further, the report highlights the industry’s strong commitment, with a 70.9% ratio of Claims Paid to Reported, demonstrating reliability in both Non-Life (55.0%) and Life (94.9%) sectors.
Noteworthy is the market’s capitalization, displaying a quarter-on-quarter increase of 1.5% and a year-on-year rise of 19.9%, affirming the industry’s stability. Total Paid-up capital stands at N422.3 billion, while the overall industry capital and Statutory Deposit record figures of N848.9 billion and N26.7 billion, respectively.
With a quarter-on-quarter surge of 4.1% and an impressive year-on-year leap of 23.5%, the market’s size has reached a substantial N2.809 trillion. Non-life assets stand tall at N1.743 trillion, while Life assets total N1.06 trillion, solidifying the industry’s significant impact.
The Q3, 2023 report stands as a testament to Nigeria’s burgeoning insurance industry, showcasing robust growth across various segments and prudent claims management. As this sector continues its evolutionary journey, this steadfast performance cements its resilience and promising trajectory for the future.
