Nigeria’s quest for achieving improved penetration in the Insurance industry will rely heavily on the impact of tailor-made “Takaful” products designed for households and Micro, Small and Medium Enterprises (MSMEs).
Mr. Zubairu Sulaiman Darazo, the Head, Takaful Unit at the National Insurance Commission (NAICOM), who represented the Commissioner for Insurance, made this point while delivering the keynote at the Second edition of the WebTV Islamic Finance Webinar.
The webinar, which discussed the theme “Islamic Finance and Insurance”, was an opportunity for regulators, operators and experts to explore how to unlock the growth of Takaful.
He noted that as of Q2,2021, Nigeria had five Takaful companies (four full-fledged and one window) and 120 products approved by NAICOM.
He gave further details on the Takaful segment of the nation’s insurance industry. He said Takaful premium contribution in 2020 was N4bn, which was low in terms of the country’s total gross industry premium.
He identified lack of awareness and lack of skilled manpower as the challenges stifling the growth of the takaful market in the nation.
Nigerian Insurance Needs Tailor-Made Takaful Products For Households, MSMEs – NAICOM