Nigeria’s insurance sector is turning to digital innovation as regulators and industry stakeholders seek to expand insurance coverage and bring millions of underserved citizens into the formal insurance system.
Stakeholders believe Insurtech platforms could increase insurance penetration by 2030, helping to address longstanding barriers that have limited the growth of the industry despite the large population and expanding digital economy of the country.
To address these challenges, NAICOM has introduced a regulatory framework for Insurtech firms aimed at modernising insurance delivery and supporting financial inclusion.
The framework is expected to create an enabling environment for technology-driven firms to simplify insurance services and improve customer experience across the value chain.
Among the firms preparing to operate under the new regulatory regime is CBI Partnering Insurtech, which recently received approval to commence operations.
The Chief Executive Officer of CBI Partnering Insurtech, Chris Baywood Ibe, while speaking on the importance of trust in insurance services, emphasised that claims settlement remains the most critical measure of success of the industry.
“The true test of insurance is not when a policy is purchased. The true test is when a claim is made” – Chris Baywood Ibe
Ibe added that the platform would provide digital infrastructure allowing users to compare, purchase, manage, and initiate claims for insurance products through web and mobile channels.
With CBI Partnering Insurtech set to begin operations under NAICOM’s new framework, stakeholders in the sector are waiting to see if this digital innovation and micro-insurance solutions can help drive insurance penetration and boost Nigeria’s subsequent financial inclusion goals.
