Insurance penetration in Nigeria remains below one per cent of Gross Domestic Product despite the country’s population of more than 220 million, AXA Mansard Insurance has said.
The insurer said the low level of coverage highlighted the need for a shift in how Nigerians perceive insurance, with greater emphasis on its role in protecting families, businesses and communities from financial risks.
The Chief Executive Officer of AXA Mansard Insurance, Kunle Ahmed, disclosed this at the launch of the company’s “Culture of Care” campaign.
Ahmed said the challenge facing the insurance industry went beyond a lack of public awareness, stressing the need to change the perception of insurance as merely an expense.
According to him, insurance should be understood as a practical expression of care and responsibility.
“Protection does not begin with an insurance policy. Protection begins with people,” he said.
Recapitalisation and industry reforms
Ahmed said Nigeria’s insurance sector was entering an important phase following the passage of the Nigerian Insurance Industry Reform Act 2025, the recapitalisation of insurance companies and other reforms.
He said the recapitalisation exercise should result in more than stronger balance sheets, arguing that insurers must be able to underwrite larger risks, settle legitimate claims more efficiently, invest in innovation and support economic activities.
Ahmed added that a stronger insurance industry could help reduce risks associated with agriculture, manufacturing, infrastructure and digital services while supporting investment and long-term savings.
He said the industry also needed to connect insurance with values that Nigerians already practised in their daily lives, particularly the responsibility of caring for family members, employees and communities.
“The challenge is therefore not simply awareness. The challenge is helping Nigerians see insurance not as an expense, but as a practical expression of care,” Ahmed said.
‘Who takes care of the caregiver?’
The Chief Marketing Officer of AXA Mansard, Adebola Surakat, said the “Culture of Care” campaign was built around the question: “Who takes care of the caregiver?”
Surakat said care had traditionally been an important part of Nigerian society, with families, neighbours and communities supporting one another during difficult periods.
She identified parents, teachers, neighbours, friends and other caregivers as people whose daily efforts help sustain families and communities.
According to her, the campaign seeks to broaden the conventional understanding of insurance by presenting protection in more human terms and encouraging Nigerians to recognise the importance of protecting those who care for others.
With insurance penetration still below one per cent of GDP, AXA Mansard said expanding coverage would require the industry to make insurance more relevant to the everyday needs and responsibilities of Nigerians.
