New investors keen on regulatory approvals

New investors awaiting regulatory approvals for take-off are excited about opportunities in the Nigerian market; particularly with respect to the retail space where they believe holds a lot of potential for growth.

The rising middle class, young population and growth of shopping malls across the country are sales spot for insurance, which according to them requires strategic planning and innovation.

Some of them, brokering and underwriting firms sees the market environment as not competitive enough in terms of products and channels.

“We are eagerly waiting for licensing from the regulator having applied for more than one year now because we cannot operate without license, one of the keen investors said.

Section three of the Insurance Act 2003 states that no person shall commence or carry on any class of insurance business in Nigeria unless the insurer is registered by the commission.

The section of the act further explains that the commission would only give approval when it was certain that it would not be against public interest or the interest of the policyholders.

While section 7(1) of the Act further said that where the Commission is not satisfied, it shall give notice in writing to the applicant within 60 days of the submission of the application of the Commission’s intention to reject the application. Some of the concerned investors has however expressed anxiety over the need to get response from the regulator on the state of their application almost a year after application.