Insurers to review business impact risks at LBS

Worried by likely impact of declining revenue, budget cuts, rising unemployment and exchange rate volatility, insurers are concerned that impact may be huge for business this year.

They are therefore undertaking a review of these business risks to prepare for the unexpected and how to keep premium afloat. This will form major discussion focus when chief executive and top echelon of the industry meet at Lagos Business School tomorrow, at an international seminar organized by the Chartered Insurance Institute of Nigeria (CIIN)

“With the planned cut in budget of most states, the Federal government planned financing of the 2016 budget with an estimate deficit portion of N2.2 trillion, the continuous downsizing and employment cut done by most firms heavily exposed to exchange rate risks in Nigeria, the insurance sector is no doubt exposed to a likely risk of decline in gross premium in 2016, the CIIN said in statement

Kola Ahmed, director general, CIIN said “as we await the approval of the 2016 Nigerias appropriation bill, there is urgent call for a paradigm shift in the insurance industry,”

According to the Institute, the seminar billed for tomorrow, with the theme: Key Economic and Strategy Imperative for the Nigerian Insurance Industry in 2016 – The way forward for Insurance Business in A Challenging Economy, was designed for the top echelon of the insurance industry and the financial services sector, to appreciate and analyse the changing structure in the Nigerian economy. It would also enable them to periscope the challenges of the industry; analyse the new political/fiscal landscape as it affects the industry; develop strategies aimed at driving the industry’s business in a turbulent economic environment and adapt and innovate to ensure growth and stability of the growing insurance business.

It posited that the one-day executive seminar, designed for insurance leaders will provide an opportunity to gain insights on likely approaches to repositioning the industry in a challenging economy.

It noted that speakers comprise a team of experienced faculty members of the Lagos Business School.