From L- Mr Akin Ogunbiyi, Chairman of Mutual Benefit Assurance; Mr Austin Enajomo-Isire, Chairman, Nigerian Social Insurance Trust Fund, NSTIF; Mr Chuks Okonta, Chairman, National Association of Insurance & Pension Correspondents, NAIPCO; Mr Rasaaq Salami, Deputy Director, Corporate Affairs of the National Insurance Commission, Naicom and Mr Val Ojuma, MD, FBN Insurance at the 5th conference of NAIPCO held in Lagos on Wednesday
By Favour Nnabugwu
National Insurance Commission, Naicom, said it is waiting on the communique from the discussion at the 5th National Association of Insurance Correspondents, NAIPCO, to consider as part of the measures for the safety and financial soundness of the insurance sector.
Speaking on behalf of the Commissioner for Insurance, Mr Sunday Thomas, the Deputy Director, Corporate Affairs of the Commission, Mr Rasaaq Salami in Lagos today, the issues of rearing on return on investment has been worrisome to the Commission hence the theme of the 5th Conference was apt at this time.
The CFI said, ” The issue of return on investment has been a concern to the commission that is why l believe that the subject of today’s discussion, ‘Promoting Bankable Investments Portfolio for Insurance and Pension Sectors’, is very apt”
“Naicom will await the outcome of the discussion at this conference for consideration in the commission to ensure safety and financial soundness of the sector”.
The outcome of the discussions at the 5th NAIPCO conference is very important to the Commission. It will proffer solution that we need in the Commission on how fund can be properly invested”
Also speaking, Chairman, Mutual Benefits Assurance Plc, Dr. Akin Ogunbiyi, called on government at all levels to support and patronize the Nigerian Insurance industry to achieve its objective and ensure returns on investments.
Ogunbiyi said the industry can achieve adequate return on investment and capital adequacy ratio through support and patronage of the Nigerian Insurance industry by government at all levels and also by ensuring reduction of sharp practices to its barest minimum.
While noting that the industry can accumulate retain earnings and shareholders funds on a sustainable basis through good corporate governance and adaptive leaders that recognize and respond to insurance needs and relevant adjacencies.
He said the industry also require commitment and dedication from all of us to achieve survival, growth and profitability, adding that as a result of the prevailing not too favourable investment climate, capital preservation yields are not as profitable as before.
Ogunbiyi who was the NAIPCO website Chief Launder, said the Financial assets such as debt and equity instruments as well as money market and equity funds are returning low yield.
He noted that though inflation at 13.9 percent, one loses money in real terms as Fixed income may guarantee cash flows, but with negative profitability.
“I want to submit that we can achieve adequate return on investment and capital adequacy ratio through. Support and patronage of the Nigerian Insurance industry by government at all levels and Reduction of sharp practices to its barest minimum”
“We can accumulate retain earnings and shareholders funds on a sustainable basis through good corporate governance and adaptive leaders that recognize and respond to insurance needs and relevant adjacencies. We require commitment and dedication from all of us to achieve survival, growth and profitability,” he pointed out.