BY NKECHI NAECHE- ESEZOBOR–The National Insurance Commission, NAICOM, has emphasized on the need for insurance brokers to improve their value proposition, Professionalism and service delivery in order to harness opportunities in AfCFTA agreement.
The commissioner for insurance, Olusegun Ayo Omosehin, disclosed this at a one day workshop for insurance brokers to equip insurance brokers with the necessary knowledge and skills to
navigate the opportunities and
challenges presented by the African
Continental Free Trade Area (AfCFTA)
agreement, organized by the Nigerian Insurance Industry AfCFTA Committee in Lagos yesterday.
According to him AfCFTA presents a significant opportunity for the Nigerian insurance industry to expand its footprint across the continent.
He however, said it also poses
challenges, such as increased competition, regulatory complexities, and the need for greater professionalism.
The commissioner who was represented by Dr. Usman Jankara Jimada, Deputy Commissioner for Insurance (Technical) at Commission, said “As insurance brokers, your expertise and professionalism are essential in facilitating the growth in the insurance industry.
He listed capacity building, Professionalism, digital transformation, regional market understanding and collaboration and Partnerships, as some of the key areas that must be improved upon by Insurance broker for the takeoff of AfCFTA
He assured them that the commission is
determined to ensure that Nigerian
brokers are not disadvantaged in the AfCFTA regime, he however emphasized that brokers must seize the gauntlet and improve their value proposition, professionalism and service delivery to remain very relevant.
In other words, “the Commission will provide the necessary support and guidance, but it ultimately up to you, the brokers, to take the necessary steps to remain competitive and relevant.
“This is one of the reasons the Commission has heightened its ongoing supervision and regulation of insurance brokers, including the latest requirement for development of Manuals, Code of Ethics and Standard Operating Manuals.”
Earlier, in her welcome address, chairman of the committee, Mrs. Ekeoma Ezeibe, said: “With the potential for increased competition and new market opportunities, Nigerian insurance institutions must become adept at innovation and development of new country- specific insurance products tailored to the needs of consumers and businesses in AfCFTA member-states.
“As cross-border trade and investments increase, insurance institutions must be ready to increasingly collaborate with regulatory authorities to educate consumers on strategies to protect their interests with insurance.
“Nigerian insurance institutions must also become nimbler and more open to investing in technological solutions, such as cybersecurity measures, mobile-based insurance platforms, and digital distribution channels, to improve efficiency and cost competitiveness.
She added that investments in talent development, training, and retention programs will be crucial to meeting growing industry needs in an evolving market.
“Climate crisis and environmental risks are also likely to create demand for insurance products that address risks such as crop insurance, renewable energy insurance, and insurance against natural disasters.”
