By Favour Nnabugwu
Coronation Insurance has tasked Scale & Medium Entrepreneurs and the Micro Scales & Medium Entrepreneurs, MSMEs to take insurance in order to mitigate their business and be able to access loan
The Chief Executive Officer of Coronation Insurance Plc, Mr. Gbenga Ismail said insurance is a transformation instrument for all businesses and in the present focus, the Micro Scale Medium Enterprises , MSMEs, to sustain their businesses.
The company during a live Webinar today, said, Entrepreneurs need to use insurance to mitigate their losses and insurance will also help you to access loan”.
With only 0.5 percent of Nigerian SMEs insured, compare with 54 percent globally, the country should focus squarely on developing an insurance environment more accommodating of and appealing to SMEs to accept insurance.
Ismail tasked entrepreneurs to engage the services of insurance brokers who would give them the right advise on which policy and products suitable for them..
Ismail who doubles as vice president, Lagos Chamber of Commerce and Industry, with the the theme of the webinar, “Importance of Insurance for SMEs: Insurance Requirement for a Growing Business,” noted that the past three years had been marked by uncertainties and the uncertainties of the business environment has underlined the importance of insurance protection for business risks at the adequate level to help businesses to grow.
Coronation boss said that transformation would elude this segment of the economy that sustains 96 percent of business activities if insurance protection is avoided.
He reassured that those that would be transformed need insurance to sustain business growth.
He mentioned the vulneraioty oof SMEs and would therefore require adequate insurance more so in an environment where there is very little cushion by government policies for uncertainties.
Therefore without insurance protection businesses are vulnerable. Ismail without a blink informed the participants that business that is well covered is a step ahead of most business.
He used the business information insurance cover that was incepted by the organisers of Wimbledon Tennis in 2003 to buttress the importance of insurance to businesses.
He said the insurance covered the scare of sars and followed it every year, with a premium £1.5 million covering event cancellation. When in 2020 Wimbledon was cancelled, the organisers were paid 114 euros by their insurers for event cancellation.