Insurance Assets Hit N2.67 Trillion as Oil & Gas Drives Industry’s Growth

James Emejo in Abuja and Ebere Nwoji

Total insurance industry  assets increased to N2.67 trillion and capitalisation of N851 billion in 2023, the National Insurance Commission (NAICOM) disclosed yesterday.

The sector performance recorded significant rise in the review period driven mostly  by oil and gas and fire insurances, contributing 27.3 per cent and 24.1 per cent respectively.

Gross Premium Written (GPW) grew to N1.003 trillion, representing about 27 per cent growth compared to the N790 billion in 2022

According to the Market Performance Report, Q4, 2023, released by the commission,  Non-Life business accounted for 61.3 per cent of all premiums written during the year, while the Life segment contributed 38.7 per cent, valued at N388.1billion.

The report showed that the market also recorded a retention of about 87.7 per cent for the Life business, just about 54 per cent for Non-Life, while the aggregate market average retention stood at 66.7 per cent during the same period.

Also, the Life business recorded about 95 per cent of net claims to the total recorded claims during the year while the market average stood at about 71.4 per cent of the N536.5 billion gross claims reported in 2023.

It said, “In a direct reflection to the “no-premium no-cover” policy of the Commission, the outstanding premium continue to decline, posting a 1.6 per cent as outstanding of all the premiums generated in the market during the period.”

The industry sustained its progressive trend of positive market performance at the close of the year.