Expert Laments Low Insurance Penetration Despite Youth Population

Dr. Akeem Oyewale, the Chief Executive Officer of Marble Capital Limited, who delivered the keynote paper at the recent BusinessToday Annual Conference in Lagos said a financially empowered youth population boosts national savings and investments, just as higher insurance adoption reduces reliance on government social support, creating a more sustainable economy.

The theme of the conference was “Banking on the Future: Youths, Pension and Insurance Penetration.”

Oyewale lamented however that despite the growing youth population, insurance adoption remains alarmingly low, with Nigeria’s insurance penetration at just 0.5% of GDP, with minimal youth engagement.

“While the global average stands at 6.80%, Nigeria’s rate is significantly lower, suggesting that the country’s insurance sector is underdeveloped. Even in the African context, Nigeria’s penetration rate lags far behind leaders like South Africa (11.54%) and Namibia (7.41%).”

In his goodwill message, Mr. Segun Omosehin, the Commissioner for Insurance and CEO at NAICOM said the Commission is focused on driving innovation and expand youth penetration in the insurance sector in Nigeria.

“As the future depends on how we engage and equip our youth, it’s essential to prioritise their exposure and relevance in the financial sector. To achieve this, the Commission is focusing on building trust and driving innovation to cater to the evolving needs of our growing young population. By that, we encourage the insurance industry to ensure that insurance products and services are tailored to meet the unique requirements of younger generations, promoting financial inclusion, stability and greater adoption of digital insurance solutions.”

He said by emphasising youth engagement and promoting financial literacy, there is a huge opportunity to unlock the potential for growth and development in the insurance sector. This he added, will in turn, contribute to the overall economic prosperity of Nigeria, as the insurance industry plays a vital role in mobilising long-term savings, financing infrastructure projects and promoting risk management.

“As a Commission, we are committed to building trust and driving innovation which will pave the way for a more inclusive and sustainable financial system, where the needs of the young generation are at the forefront.”

He said to secure the financial future of young people, stakeholders must rethink engagement strategies by offering youth-friendly financial products to meet the unique needs of young people, strengthening financial education by introducing targeted literacy programs, leverage workplace initiatives to promote insurance participation.

“Insurance services are key initiatives that when made youth-friendly, can change the face of capital formation and wealth dynamics in Nigeria.”

 

Hot this week

Top10 Magazine Names Umaru Kwairanga as Man of the Year 2026

Alhaji (Dr) Umaru Kwairanga, Group Chairman, Nigerian Exchange Group...

CBN Grants JPMorgan Approval-in-Principle to Establish Merchant Bank in Nigeria

The Central Bank of Nigeria (CBN) has granted Approval-in-Principle...

Cardoso Engages Business Leaders on Strengthening Nigeria–China Financial Corridor

The Central Bank of Nigeria (CBN) convened a high-level...

UBA Commences Contempt Proceedings Against WEMPCO Directors over Alleged Disobedience of Court Order

Mr. Lewis Tung and his brother, Robert Tung The Federal...

$242m Petroleum Products Diversion Claim: UBA Secures Court Order Against Vitol, Four Others

A Lagos State High Court has granted interim preservative...

Topics

NGX Group Chair, Umaru Kwairanga, Leads Industry Delegation to South Korea

Dr. Umaru Kwairanga, Group Chairman, Nigerian Exchange Group (NGX)...

Nigeria Loses N2.5bn to Gas Flaring Yearly

BudgIT advises the Nigerian government against the effects of...

Shareholders Lament Foreign Acquisition of Local Insurance Firms  

  L-R: Welfare Officer, Independent Shareholders Association of Nigeria (ISAN),...

Equities Market Sustains Gains… NSE ASI up 1.0%

The equities market sustained gains yesterday as the All...

Interswitch Expands Presence in Health-Tech Space via Acquisition of eClat

Interswitch Limited, a leading technology-driven company focused on the...

IATA to Africa: Adopt Global Carbon Emissions Standard

The International Air Transport Association (IATA) is urging African...

Heirs Insurance Group Rolls out Nigeria’s First Insurance Loyalty Programme to Reward its Customers 

Heirs Insurance Group, Nigeria’s fastest-growing Insurance group, has rolled...

NCC Extends Submission of Application for Hackathon

The Nigerian Communications Commission (NCC) has extended the deadline...