All Posts in "Day: October 10, 2022"

PenOp says PenCom Guideline on mortgage will create massive jobs

By Favour Nnabugwu

 

 

 

The Pension Fund Operators Association of Nigeria (PenOp) has commended the National Pension Commission (PenCom) for the release gog guideline on mortgage would creat massive jobs

PenOp in a statement on Tuesday said the guideline jobs in the construction value chain for artisans and others

it will be recalled that the guidelines released by PenCom allows pensioners to use their Retirement Savings Account (RSA) as equity contribution for obtaining residential mortgages.

“We believe it will create massive jobs for artisans and blue color workers involved in the construction value chain and also further open up wealth management and financial planning industry”

“RSA holders will now begin to plan towards a target RSA balance because they have a goal of owning a home.

Though the provision, PenOp said had been part of the amendments that occurred when the Pension Reform act was amended in 2014.

“We are aware that the process of actualizing this portion of the act has gone through a number of iterations and stakeholder engagement and we are happy that it has finally been released”.

“Whilst we realize that there might be some initial teething problems, we the pension operators are excited and are primmed to partner with the commission, RSA holders and other stakeholders to ensure that this policy actualizes the reason for why it was set up”.

It added that the home ownership ratio and first-time home buyer statistics in Nigeria is very low and we believe that this policy will help to improve this and also provide increased benefits to RSA holders in the immediate.

This policy is very catalytic in nature and has the potential to spur growth in other sectors of the economy, It should boost the mortgage finance and home loan sector, in addition to having a positive effect on the construction value chain and building materials sector.

“We also believe that voluntary contributions will increase because people can use the contingent portion of their voluntary contributions as part of the equity contribution for residential mortgages. In addition, more companies will now take their contributions more seriously as will staffs of these companies.

“For those who do not have an RSA account and are working in the formal sector, we urge them to commence the process in conjunction with their employers.

“For those in self-employment, we also encourage them to take advantage of the Micro Pension Plan (MPP). Regarding the MPP, we are also happy that the policy extends to this is extended to self-employed individuals and those in the informal sector.

“We believe this will help to grow the Micro Pension business and ensure that millions of Nigerians in the informal sector will have the opportunity to enjoy structured pensions when they retire and also benefit from the gains of the pension reform.

“Overall, we believe this policy is net positive for the pension industry and the economy as a whole.”

It noted that the effects are catalytic and will help to galvanize various sector of the economy, while adding that the pension industry over the years has played a significant role in the local debt and equity market, financing National and Sub National projects and debt programs and financed transformational companies and projects.

The industry according to the Association is primmed to do more and we believe that this new policy is another milestone in the positive effect of the pension industry on the economy and also another example of the collaborative nature of the pension regulator that leads to gains for the wider economy

Patoma Admin by — October 10, 2022 in Pension 0
Ethiopian Govt suspends ‘visa on arrival ‘ to foreigners at all points of entry

By Favour Nnabugwu

 

 

The Government of Ethiopia has suspended ‘visa on arrival’ to foreigners at all points of entry due to security challenges and political situation in that country.

In a statement signed by the Ministry’s spokesperson Mrs. Fransisca K Omayuli  stated  “The suspension applies to nationals of all countries bearing Standard Passports, who seek entry into Ethiopia and not specifically targeted at Nigerians, as reported in some quarters”.

“The Ethiopian authorities have explained that the measure is aimed at better border control of movement of persons into Ethiopia in view of the ongoing armed conflict in the Northern part of the country. The measure is said to be temporary, pending improvement in the security situation in the country and not a replacement of Ethiopia’s open visa policy”, Omayuli added.

Intending Nigerian travelers to Ethiopia were urged to take due cognizance of this development by obtaining appropriate entry visas at the Ethiopian Embassy or an electronic visa (e-visa) through the country’s Immigration and Citizenship Service (ICS) portal at www.evisa.gov.et Also, those transiting through Bole International Airport, Addis Ababa, Ethiopia to other destinations or intend to briefly stop over would require valid entry visa to enable them access hotel facilities in the city or else would be obligated to remain in the airport pending their connecting flight.

The statement stated further that the Ministry of Foreign Affairs will liaise with the Nigerian Immigration Service and Airlines on that route to ensure that Nigerian travelers are adequately sensitized about this visa policy which became operational on 29th September, 2022.

Explaining further, Omayuli frown at some Nigerians who attempt to abuse Ethiopia’s visa policy, “who enter the country on tourist visas and remain even after the expiration of their visas, engaging in unwholesome activities.

 

Patoma Admin by — October 10, 2022 in Foreign 0
Annuity customers pass vote of confidence on AIICO Insurance

By Favour Nnabugwu

 

 

Annuity customers of AIICO Insurance have soundly expressed satisfactory services rendered by the company, passing a vote of confidence on the company during the 2022 Customer Service Week.

This year’s event themed ‘Celebrate Service’ had some key activities which include visits to customers (older citizens) to appreciate them and presenting them with gifts. Walk-in customers too participated in the various activities and got some take away gifts.

In his newsletter to customers, the MD/CEO, Mr. Babatunde Fajemirokun, stated “This occasion gives us the opportunity to amplify our gratitude to you for your valued relationship with us. You are the sole reason we are in business and getting better at what we do. Journeying through life with you gives us the most pleasure.”

“The theme for this year is ‘Celebrate Service’. At AIICO, Customer Service is not just a department; it is a function that has all employees as stakeholders. Our fundamental purpose is to serve you and we are obsessed with meeting and exceeding your expectations. We look forward to many more years of serving you wholeheartedly. ” said Mr. Fajemirokun.

In a recent interview, some of AIICO’s annuity customers shared their experiences.

Mr Joseph Igebulem, an annuitant, gave the company a 99 percent pass mark noting that the underwriting powerhouse has met and surpassed his expectations. He said; “I am Mr Joseph Igebulem holding an annuity policy with AIICO and it has been seamlessly okay. For the past eight years, no flaws. I have even introduced them to my friends here in Lagos and Calabar. So, if I should award in terms percentages, AIICO has met 99 percent of my expectations in the sense that I get information from them when I need it. And again my payment is delivered when due. I am advising everyone and telling those on the verge of retirement now to go for AIICO because I trust it is a very good company for retirement.”

In a similar manner Mrs. Udu Veronica Ugwumba, who retired from PHCN said she bought AIICO Annuity policy since 2015 as she eulogised AIICO’s exceptional service delivery, adding that she has no hesitation recommending the company to everyone who may need its services.

“My name is Mrs Udu Veronica Ugwumba. I worked with National Electric Power Authority, now PHCN Plc. I went into AIICO annuity on the 30th November 2015. It has been a smooth ride with AIICO since I went into the policy I have never regretted it. AIICO is indeed a good insurance company. In fact, I was attracted by the name, American International Insurance Company (AIICO) because I knew it would last.”

“There is confidence in AIICO, it is reliable. I have been recommending AIICO to people, I recommended them to my daughter, I recommended AIICO to a co-worker when we were retired and so many other people. And even when I lost my mother in 2016, I had little or nothing for my own contribution, I had to run to AIICO and they helped, giving me upfront payment. Even after burying my mother, I applied for quarterly payment of my annuity, AIICO did it for me. After that I applied again for monthly payment; they started again to pay me monthly. So AIICO is a reliable insurance company.” Ugwumba said.

Mrs. Okikiade, Clara Kunbi said: “I retired 2020, December, precisely and I joined AIICO Insurance in 2022. Ever since that time they have been paying my annuity regularly. By 13th I receive alert. But the one that surprised me most was before our last festival they paid me ahead of time. So, AIICO is doing a very good job. Also they ensure that they meet their obligations to us as and when due. Keep doing the good job AIICO. Actually I have introduced some people to AIICO because of my experience with them.”

Mr. Philip Nnamdi Izundu noted: “I worked with Union Bank of Nigeria, retired and I started the policy the AIICO Annuity policy in 2013. The experience has been very good in terms of punctuality. They never failed and I can say that they are sensitive enough. They have always paid ahead of time especially during festivals. Of course, AIICO has met my expectation. And without reservation I recommend AIICO to those that want to do annuity,” said Mr Izundu.

The Management of AIICO has assured its customers, both existing and prospective, of its unwavering commitment to continue to deliver on its mission – creating the most compelling experience, offering best fit products and driving wholesome peace of mind.

Patoma Admin by — October 10, 2022 in Insurance 0
Nigeria spends $100m in feeding 10m school children- FG

By Favour Nnabugwu

 

 

The Federal Government has spent $100 million to feeding 10 million Nigerian children under the National School Feeding Programme, as part of efforts to eliminate the scourge of child labour in the country.

The Minister of Labour and Employment, Senator Chris Ngige, stated in Abuja Friday  when he received the United States Ambassador to Nigeria, Mary Beth Leornard and officials of the Department of State who paid him a courtesy visit.

Ngige, explained that the Nigerian government introduced the school feeding programme under its social security programme, to lure children engaged in child labour, back to school.

He said the Federal government also introduced social protection programmes to fight poverty, which is the major contributory factor to the prevalence of child labour in Nigeria.

A statement by Olajide Oshundun, Head of Press and Public Relations, Federal Ministry of Labour and Employment quoted Ngige as saying, “We have introduced the National school feeding programme under our social security, to lure children back to school. As of today, we are feeding 10 million children across the country. We have spent nearly $10 million on this.

“We have also taken more schools into the areas prone to child labour and made education free in the whole country through the Universal Basic Education Act and the Child Rights Act.

“For the people with disability, we introduced Disability Peoples Commission to give them full and comprehensive aid so that they will not fell that they have any disability. If you don’t support someone with disability, it is outright poverty.”

The minister expressed the gratitude of his ministry to the US government for the recent technical assistance of the United States Department of Labour to West Africa, in the area of fighting violence and harassment at work under Convention 190 of International Labour Organisation (ILO).

“Nigeria and Liberia iare listed there and the fund is $5 million, estimated to be spent on the project. We think that it is a step in the right direction.

“Just last week we got information of another $4 million for anti-child labour activities in Nigeria. Ondo State is chosen as the pilot state for the fight against child labour in the area of cocoa farming. We think this is a good step in the right direction because over the years, from the time we visited for African Growth and Opportunities (AGOA) conference under the Department of Labour and Trade in Washington in 2017, we had made it clear that the United States Government has to take practical steps for us to follow. We cant be mouthing child labour and we leave it unattended to when we know that most of those engaged in it are those trying to make up for family needs.”

According to him, vulnerable families send their underage children to work in cocoa farms, mining sites or to engage in street hawking and petty trading, because family income is not enough, owing to underemployment or unemployment.

He explained that advocacy alone cannot reduce the scourge, as it would be difficult to retain the audience of a hungry person.

Ngige reiterated his proposal at the AGOA conference that the United States must assist Nigeria in fighting child labour, adding that his ministry needed assistance in the area of capacity building and logistics, such as vehicles, to enable officials of the Department of Occupational Safety and Inspectorate Division move into areas with high incidence of child labour and tackle the scourge from the source.

He added that the government needed assistance to train people in skill acquisition, to make the uneducated gainfully employed in plumbing, refrigeration repairs, tiling, among others.

Earlier Leornard said the United States Government was worried to see that Nigerian children were subjected to the worst forms of child labour in quarries and grannites and mining sites.

She assured that her country would continue to work with the Nigerian Government in addressing the scourge and appealed to the remaining seven states yet to domesticate the Child Rights Act to do so without further delay.

She said the US government was pleased to see a new programme in Nigeria that provides seed capital to vulnerable people to pursue programmes in areas with high prevalence of child labour.

Patoma Admin by — October 10, 2022 in Education 0
IMT 2022: Insurance, Tech experts advocate partnerships to deepen insurance penetration through Insurtech

CAPTION:

L- Client Technology Lead, Microsoft Nigeria, Wole Odeleye; Managing Director, Interswitch Systegra, Jonah Adams; Group Chief Executive Officer, Old Mutual West Africa, Samuel Ogbu; CEO, Modion Communications/Convener, Insurance Meets Tech, Odion Aleobua; Tosin Faniro-Dada, Managing Director & CEO, Endeavor Nigeria; Head of Sales, Leadway Assurance, Sola Ajayi and Chief Executive Officer, PaddyCover, Mayowa Owolabi, at the first edition of the Insurance Meets Tech (IMT 2022), an era-defining discourse for leaders in the insurance and tech sector.

 

By admin

 

 

Stakeholders in the insurance and technology sectors have called for partnerships, collaborations, and technology adoption as expedited strategies for Nigeria’s insurance penetration at the Insurance Meets Tech (IMT) inaugural edition conference.

This landmark multi-industry discourse, convened by Modion Communications on Thursday, September 29, 2022, was headlined by over twenty industry-leading thought-leaders from the Insurance, finance, and technology sectors from across Africa, such as Microsoft Nigeria, Ecobank Nigeria, Old Mutual Group, Leadway Assurance Company Limited, AXA Mansard, Curacel, ActivEdge Technologies, MediSmarts among others. The conference also had in attendance over 300 C-Suite executives as delegates representing multiple companies.

Speaking on the role of big data and cloud computing in bolstering the operations of the Nigerian insurance sector, Ola Williams, Country Manager, Microsoft Nigeria, explained that leveraging technology increases the brand value of insurance organisations and allows insurers to free up their capital outlay to accommodate potential customers.

“Data is a source of wealth and power, and it has become a key disruptive factor that organisations leverage for competitive advantage. Cloud computing is also key to organisations’ insight acquisition for detailed reporting of different aspects of their operational efficiencies. Since insurance is the transfer of risk from one entity to another, as an insurer, data gives insight into the behaviours and preferences of individuals and as such, supports the provision of differentiated offerings to customers. Indeed, the limit to how we can use data is in our imagination”, she said.

Also speaking at the event, Olusegun Omosehin, Incoming Chairman, Nigerian Insurers Association (NIA), cited the irrefutable importance of collaborations and partnerships between the insurance and technology industries in operationalising a digital-led customer acquisition journey, thereby deepening insurance penetration in Nigeria.

“To swiftly embark on this digital expedition, we must be willing to rethink our existing processes, especially the customer acquisition journey. We must also remember that this is not necessarily a race for intra-sector prominence but an opportunity to up the ante collectively for global dominance and deepening access to insurance”, he stated in his opening address.

Speaking on the functionality of technology for driving change in the Nigerian insurance ecosystem, the Group Chief Executive Officer, Old Mutual West Africa, Samuel Ogbu, said: “Insurance exists to solve problems and create value, and this can be achieved through collaboration and partnerships. However, the problems with insurance value creation in Nigeria have evolved, and solutions provided by insurers in this regard must align with the fundamental evolution and revolution of strategies. Innovation technology has a key part to play in the evolution of insurance value creation, and the knowledge of revolutionary insurance strategies relies heavily on data analytics which is a key provision of technology”.

Sola Ajayi, Executive Head of Sales, Leadway Assurance Company Limited, also explained that the insurance industry is enthusiastic about technological innovation. He also noted that though the sector had progressively slowed in the last two years, it would experience lots of unbundling of insurance products using technology.

At the conference, the Managing Director/CEO PaddyCover, Mayowa Owolabi, highlighted the importance of regulatory enablement in achieving technological adoptions and collaborations in the insurance industry. He said, ‘The insurance industry requires sensible, timebound, future-centric regulation that creates an environment to thrive”.

In a keynote address, Kola Adeleke, Executive Director, Corporate Banking, who represented Jubril Mobolaji Lawal, the Managing Director, Ecobank Nigeria, said that “the insurance sector can take a cue from the Nigerian Banking System which has gone from its analogue age to a massive digitisation phase. Ecobank, for instance, invested greatly in tech to run a multi-geography, multi-lingual, one-bank platform across our 33 affiliates which currently serves over 1.9 million people in Nigeria”.

Similarly, the Managing Director, Interswitch Systegra, Jonah Adams, said, “organisations must strategise on efficient measures by leveraging new technologies to provide financial and insurance services to the 100 million unbanked Nigerians. One great way of doing that is by providing these services in nano sizes for the retail-driven and unbanked Nigerian population. The insurance market is ready for collaborations and scaling”.

The Chief Executive Officer / Co-founder, Curacel, Henry Mascot, said during the plenary that “Insurance is a complex financial service to sell, and its digitisation is a surefire way to simplify its consumption and accessibility by consumers. A groundswell regulatory approach must also be employed to ensure that people are legally bound to get insured. As we have seen in the legal requirement of motor insurance, health insurance, and building insurance, amongst others, must also be constitutionally protected for widespread adoption amongst Nigerians”.

Chief Executive Officer, ActivEdge Technologies, George Agu, advocates that the much-touted innovation be done in consonance with the regulatory environment. “We must pay close attention to what regulation permits and innovate accordingly to create value for consumers. The banking sector has been immensely bolstered by technology. Insurance organisations have not come to appreciate or prioritise the value of technology in the insurance space, and this situation must be addressed”, he said.

Chief Digital Officer, AXA Mansard, Bayo Adesanya, opined that the sector takes advantage of the impressive mobile phone revolution in the country for rapid growth. “Telephony and mobile technology are tools we have employed for a wide reach of insurance awareness, education, and accessibility. This is key to tackling the abysmal rate of insurance penetration in Nigeria”.

The Chief Executive Officer, MediSmarts Ltd, Obinna Osuji, agrees. “Social and religious constraints contribute largely to the low rate of health insurance penetration, and we attempted to tackle that with digitisation. The growth of mobile telephony and internet accessibility has also been largely important.”

Odion Aleobua, the Chief Executive Officer, Modion Communications and Convener, Insurance Meets Tech 2022, cited the huge potential of the Nigerian industry and the capabilities of technology in catalysing its adoption and penetration rate. He also highlighted the timeliness of the IMT 2022 conference as a continental kick-off of collaborative insurance and tech discourses.

Sponsored by foremost insurance and tech majors – Curacel, ActivEdge Technologies, Leadway Assurance Company Limited, Old Mutual and MediSmarts, this ground-breaking conference converged numerous industry leaders for a prolific discourse on the immense potential of collaboratively exploring Insurtech for continental dominance whilst changing the narrative of insurance apathy in Africa.

Patoma Admin by — October 10, 2022 in Insurance 0
Insurance industry total asset rise by 11.9% in Q2 2022

By Favour Nnabugwu

 

 

 

Insurance industry total asset grew by 11.9 percent in the second quarter of 2022 to a  a whopping N2.3 trillion, the National Insurance Commission (NAICOM) had revealed

NAICOM stated this in publication entitled: Bulletin of the Insurance Market Performance : Synopsis of the Insurance Market Second Quarter, 2022, adding that the sector recorded an increased rate of growth at 11.9 per cent, quarter on quarter with a total asset of about N2.3 trillion.

The total assets rose by 11.9 per cent, translating to over N200 billion from second quarter of 2021

The industry’s financial position revealed a total of N1.2 trillion in assets of Non-Life business while the Life business stood at about N1.1trillion, translating to N2.3 trillion cumulatively.

The market data reveals that the industry grew 20.1 per cent higher than the national real Gross Domestic Product (GDP) of 3.5 per cent during the same period, NAICOM submitted.

The insurance industry market recorded N369.2 billion gross premium during the period, indicating a 20.1 per cent growth rate compared to the same period of the previous year and an impressive 65 per cent quarter on quarter.

The continued steady growth from the first quarter of the year, it stressed, correlated with the current performance of the period under review, adding that, the market could be adjudged as sound and stable whilst, the stance of the market deepening remains optimistic

Similarly, insurance companies incurred N174.8 billion gross claims, paid to policyholders who suffered insurance risks in the quarter.

According to the regulatory report, “the growth of the gross claims reported was (0.2percent) during the quarter compared to the corresponding period of 2021. The industry Statistics for gross claims in Q2 of 2022 stood at N174.8 billion, representing 47.3 percent per cent of all premiums generated during the period.”

This development, NAICOM said, reflects the professional underwriting capacity of the industry as driven by the intensified regulatory activities of the commission, adding that, the net claims paid, on the other hand, stood at about N148.2billion, signifying an 84.8 percent of all gross claims reported during the period.

The Life Insurance business recorded a near perfect point of about ninety (88.90 percent) per cent claims settlement as against the reported claims while non-life segment stood at about seventy-seven (76.8 percent) per cent,” it pointed out.

Patoma Admin by — October 10, 2022 in Insurance 0