As Nigeria charts a course toward becoming a $1 trillion economy, the Nigerian Council of Registered Insurance Brokers (NCRIB) is calling on President Bola Tinubu to elevate insurance as a strategic pillar of economic development.
In a recent interview with the News Agency of Nigeria (NAN), NCRIB Executive Secretary, Mr. Tope Adaramola, emphasized the need for comprehensive reform and deeper government support to unlock the insurance sector’s full economic potential.
“Insurance is not just a financial product, it’s an economic enabler,” Adaramola said. “If Nigeria is serious about hitting the $1 trillion mark, insurance must be given a central role in national planning.”
Unlocking Growth Through Legislation
Adaramola highlighted the recent passage of the Insurance Reform Bill by the House of Representatives as a crucial step toward modernizing the industry. The bill, now awaiting presidential assent, is expected to widen operational capacity, boost insurer solvency, and deepen market penetration, especially in underserved regions.
Once enacted, the reform could trigger significant capital inflow and innovation, positioning insurance as a more dynamic contributor to Nigeria’s GDP.
Regulatory Collaboration Boosting Compliance
The NCRIB executive also pointed to improved collaboration between the National Insurance Commission (NAICOM) and the Nigeria Police Force, particularly in enforcing third-party motor insurance. The joint effort has resulted in higher compliance rates and a measurable uptick in premium income across the industry.
“The ripple effects of this enforcement are already visible,” he noted. “This kind of synergy between regulators and law enforcement sets the tone for more sustainable growth.”
Public Infrastructure as an Insurance Catalyst
Adaramola commended the Tinubu administration for infrastructure investments like the Lagos-Calabar Coastal Road and Sokoto-Badagry corridor, saying such projects naturally create demand for insurance.
“Every road built, factory erected, or public asset developed opens up new insurance opportunities, whether in construction, logistics, or liability coverage,” he explained.
However, he criticized the Federal Government’s inconsistent insurance practices, especially its failure to insure many of its own assets, calling it a contradiction to the enforcement of insurance compliance in the private sector.
“It’s ethically inconsistent for the government to enforce insurance rules while neglecting to insure its own infrastructure. Leadership should lead by example.”
The Road Ahead: From Compliance to Economic Integration
Adaramola also urged the administration to extend enforcement efforts beyond auto insurance to other compulsory policies, such as builders’ risk insurance for construction projects. He argued that strict enforcement and broader adoption would strengthen the industry and enhance government revenue streams.
While it’s still early to fully assess the administration’s impact, Adaramola acknowledged progress in areas like infrastructure and regulatory reform. He called for more deliberate policy innovation to position the insurance sector as a cornerstone of Nigeria’s financial architecture.
“The insurance reform bill, once signed, will unlock new economic possibilities,” he concluded. “But beyond legislation, we need strategic vision. If properly empowered, the insurance industry can support itself, and help Nigeria close in on its $1 trillion economic goal.”
