Insurance industry can be stronger if united – Ogunko

The nation’s insurance industry would become stronger and contribute more significantly to the country’s gross domestic product (GDP) if operators can come together to speak with one voice, pool resources and rally round the regulator to drive the different reform programmes going on in the sector.

Gbenga Ogunko, executive director, Business Development, Mutual Benefits Assurance plc, who spoke during a meeting with insurance journalists in Lagos, said the industry holds a lot of untapped potential.

According to him, coming together with a strong pool will give the industry the capacity to play actively in the oil and gas, energy and power sectors where a lot of premium flight is taking place in the country. “Rather than work as individual companies, let operators come together and share the risks,” he said, adding that it was the reason the local content development programme was not having reasonable impact on the insurance sector.

Ogunko, who was passionate about the achievements of the current leadership of the National Insurance Commission (NAICOM), particularly the recent policy on “No Premium No Cover” which has translated to healthier insurance industry in terms of liquidity, called for increased support by all stakeholders.

“As an industry, let us rally round the commissioner for insurance and his team to encourage them for more developmental policies and programmes that would help move the industry forward,” he said.

He further commended the efforts of the commission in instilling “Know Your Customer” (KYC) policy to check money laundering activities in the industry, stressing that all of these point to how important insurance sector is becoming in Nigeria and why government is taking special interest in the sector.

“Insurance industry is number one sector in government’s vision 20:2020 project, meaning that everyone is looking unto the insurance sector to contribute more significantly in the economic programmes of the government,” he said.