NAICOM Collaborates With Malaysia for Takaful Insurance Development
Ebere Nwoji
The National Insurance Commission (NAICOM) is collaborating with Malaysia in capacity building and investment opportunities to grow its Takaful insurance
The Commissioner for Insurance and Chief Executive Officer, NAICOM, Mr. Olusegun Ayo Omosehin, disclosed this when he played a host to the High Commissioner of Malaysia Mr. Aiyub Omar who visited him in his office in Abuja.
During the visit, Omosehin explained the functions of the commission, emphasising its dual role in regulating the insurance industry’s business activities and driving growth and development in Nigeria.
To tap from the country’s wealth of experience the commissioner suggested Nigeria should study countries with similar characteristics, such as Malaysia, which has witnessed rapid growth in Takaful Insurance over the past three decades.
He sad this would enable the Commission to identify best practices, gain valuable insights, and adapt strategies that have proven success in similar markets.
According to him, by exploring international models and benchmarking against industry leaders, the commission aimed to creating a more conducive environment for insurance growth in Nigeria, ultimately benefiting policyholders and stakeholders alike.
The commissioner further stressed the importance of knowledge sharing to replicate successful models in Nigeria, particularly in achieving President Bola Tinubu’s vision of a $1 trillion economy.
This goal, he said, aimed to be accomplished within eight years, relies heavily on collaborations with foreign governments, including Malaysia, stressing that given Nigeria’s low insurance penetration, the potential for growth and investment is substantial.
Omosehin stated that notably, Nigeria has made progress in the Takaful insurance sector, expanding from a single company in 2013 to six companies currently under the National Insurance Commission’s regulation.
He emphasised the need for knowledge sharing and strategic partnerships, reiterating that by learning from Malaysia’s experiences and best practices, Nigeria can accelerate its economic growth and development, ultimately achieving the ambitious goal of a $1 trillion economy.
He informed the Malaysian High Commissioner about the newly passed insurance bill by the Senate, which now awaits concurrence from the House of Representatives.
This bill, he said, is expected to significantly boost capital in the insurance industry and create new investment opportunities.
He said that by enhancing the regulatory framework, the bill sought to promote the growth and development of the insurance industry in Nigeria, ultimately contributing to the country’s economic growth.
The Malaysian High Commissioner, in response, said he was thrilled by the reception by the National Insurance Commission and expressed his enthusiasm for collaboration.
He highlighted Malaysia’s expertise in Takaful Insurance, emphasising the potential for bilateral agreements to drive growth in Nigeria’s insurance industry, particularly in the Takaful sector.
