MICRO-INSURANCE PENETRATION IN NIGERIA: THE JOURNEY SO FAR
Authors:
Augustine A. Inyang, and Francis A. Bassey
Abstract:
Regulators and supervisors in emerging market jurisdictions have little experience or empirical data to support their role in creating an “inclusive” insurance market that works effectively for the upper as well as the lower segments, with the latter being the focus of “micro-insurance”. Increasingly, however, supervisors and other micro-insurance promoters (such as insurers, governments, donors,) in many of these jurisdictions realise that a more conducive and enabling regulatory environment is required for the development of micro-insurance. These initiatives are aimed at adapting laws and regulations which support the evolution of more inclusive insurance system by encouraging existing insurers to serve low-income segments or by allowing micro-insurers to evolve and integrate with the formal insurance sector. Mostly, it is the informal micro-insurers who cater for the need of the low-income segments in a limited manner and are largely unregulated.