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

NIA Leaders Visit NAICOM to Strengthen Industry-Regulator Collaboration, Development of Insurance Market

Mrs. Nwachukwu Ebelechukwu, Chairman Nigeria Insurers Association (NIA) and...

Nigerian Insurance Leaders Grace 30th AIO Reinsurance Forum in Mauritius

Faces of the Nigerian insurance industry delegation at the...

PalmPay Named Digital Payments Platform of the Year at BusinessDay BAFI Awards 2026

L-R: Chika Nwosu, Managing Director, PalmPay with Frank Aigbogun,...

Guinness “Open For More” Promo Grand Prize Winner Drives Home ₦150m Toyota Prado as 1,075 Consumers Win Big

L-R: Rotimi Odusola, Legal and Corporate Relations Director, Guinness...

How Nigerians Abroad Can Grow Wealth at Home

By Tolulope Rojaiye A Nigerian professional in London closes her...

Topics

Union Bank Announces Graduation of 2024 New Management Trainees

Union Bank of Nigeria, one of Nigeria’s foremost financial...

Top 5 Business Risks for West Africa in 2018

As Nigeria exits the recession of 2017, investor sentiment...

Beyond the Change Chorus: Is Nigeria Open for Business Again?

Against the intense apprehension by local and international observers, Nigeria's 2015 Presidential Elections turned out peaceful and successful following the incumbent's concession of defeat prior to the final announcement by the electoral umpire - INEC. The election, which was keenly contested by All Progressives Congress (APC) - General Muhammadu Buhari (GMB) and Peoples Democratic Party (PDP) - Goodluck Ebele Jonathan (GEJ) saw the emergence of GMB as the President-elect of Nigeria. GMB satisfied the constitutional requirement of polling the majority votes of 15.4 million (vs. GEJ's 12.9 million total votes) while also winning at least 25.0% of the votes cast in 28 states (vs. GEJ's 27 states). In the past weeks, there have been two contending words -- Change vs. Transformation. With the former now triumphing over the latter, the Nigerian economy and financial market demand more..."Beyond the change chorus".

NITDA Saves N3bn for FG via IT Process

The National Information Technology Development Agency (NITDA) has saved...

‘WA Needs Uniform Insurance Regulation’

Mr. Eddie Efekoha, Chairman, Nigerian Insurers Association (NIA) says...

Linkage Assurance PAT up 431% to N2.9bn in 2017

Dr. Pius Apere MD/CEO Linkage Assurance Plc Linkage Assurance Plc has recorded...

Most Influential Global CEOs for World Business Forum in New York

“Mr. Emotional Intelligence”- Daniel Coleman The world’s indisputable authority on...

RedStar Express Commences Express Grocery Service

Red Star Express Plc, one of Nigeria’s foremost logistics...